International Development Grant
Natural Resources for Development Program in Indonesia
Project Number: CA-3-A035476002
Status: Closed
Country/Region:
Maximum Contribution: $12,840,000.00
Start Date: October 01, 2015
End Date: December 30, 2021
Duration: 6.2 years
Project Description
The project aims to assist Indonesia to improve extractive sector governance and maximize opportunities for the sector’s positive contribution to poverty reduction and shared prosperity in Indonesia. The project supports central and subnational governments to better coordinate formulate and implement sustainable policy reforms in the extractive sector. It increases access for the public and the private sector to extractive sector policy planning and development. It increases availability of evidence-based approaches to policy making and the quality and mechanisms for sector monitoring and oversight. The project strives to increase the benefits received by the Indonesian citizens from extractive sector revenues and reduce negative environmental impact of the sector development.
Expected Results
The expected outcomes for this project include: (1) improved sustainable and equitable management of the extractive sector including revenues by targeted national regional and local governments and institutions in Indonesia; and (2) improved energy environmental and gender-equitable social outcomes including benefit sharing at local level from the extractive sector in Indonesia.
Progress & Results Achieved
Result achieved as of December 2021 include: (1) developed 125 knowledge products to help government officials make evidence-based policies. This improves management of natural resource revenues and environmental energy and gender-equitable social outcomes from the natural resource sector. It also ensures better transparency better quality of minerals data and provides clarity on land rights; (2) organized 112 events (including training seminars) to consult with stakeholders to feed into the knowledge products (in connection with result no.1) to support their dissemination and increase Government capacity. The events provided targeted technical assistance and training to increase the capacity of the targeted institutions to govern and manage the natural resource sectors including managing its revenues and ensure equitable access to land and land-related resources. The targeted institutions include the Ministry of Finance the Ministry of Energy and Mineral Resources the broader mining oil and gas authorities and state-owned operators and the Spatial Planning/National Land Agency; (3) Improved government inventory database on mineral resources data through a review of the National Standardized Inventory System for mineral resources data. The review examined whether the current online systems for reporting mineral resources are effective and provided recommendations for improving mineral inventory database. As a result 19 subnational governments’ followed the recommendations and upgraded their online reporting system; (4) Developed 11 fiscal models to support deeper and more precise forecasting of revenue from minerals and subsidy payments for use by the Government. Supported the development of Government of Indonesia’s electronic system for mineral royalties and payment to the Government (ePNBP). As a result the percentage of mining revenues collected and evaluated against its potential gains has improved from 57% in 2012 to over 70% at the end of the
Key Information
Executing Agency:
IBRD Trust Funds - World Bank
Reporting Organization:
Global Affairs Canada
Program:
OGM Indo-Pacific
Last Modified:
September 19, 2025
Development Classifications
DAC Sector:
Aid Type: Contributions to specific-purpose programmes and funds managed by implementing partners
Collaboration: Bilateral
Finance Type: Aid grant excluding debt reorganisation
Selection Mechanism:
Pre-APP