Netherlands Allocates USD 360 Million for Indonesia’s Water Infrastructure

May 2025

The Dutch government has reaffirmed its commitment to supporting Indonesia’s priority programs in water resource management, including the development of a giant sea embankment, the Giant Sea Wall. This commitment was discussed during a meeting in April 2025 between the Dutch Ambassador to Indonesia, Timor-Leste, and ASEAN, as well as officials at Indonesia’s Ministry of Public Works, as part of ongoing cooperation under the Memorandum of Understanding on Water.

The Dutch Ambassador stated that the funding, amounting to EUR 300 million (approximately USD 360 million or IDR 5.72 trillion), was provided through the Dutch development finance institution, Invest International.

The funding is designated for several priority projects, including coastal protection efforts in areas such as Demak and Cirebon under the Giant Sea Wall initiative, the development of peatwater treatment facilities to produce drinking water in Riau and South Kalimantan, and a waste-to-energy project at the Legok Nangka landfill site in West Java.

The Dutch Ambassador noted that since 2008, the Netherlands has been involved in the initial planning and technical studies of the northern coastal security project in Java through the National Capital Integrated Coastal Development (NCICD) program. He underscored the Netherlands’ continued commitment to sustainable implementation through an integrated approach incorporating nature-based solutions, social protection, and cross-ministerial collaboration.

The Indonesian Minister of Public Works appreciated the Dutch Government’s continued support and collaboration in Indonesia’s infrastructure development, particularly in water resource management. He acknowledged that Indonesia has gained valuable insights from the Netherlands’ expertise in this field. The minister also highlighted that current government priorities in water resources include irrigation, access to potable water, flood control, and coastal protection.

The Indonesian Ministry of Public Works and the Dutch Ministry of Infrastructure and Water Resources have cooperated in the water sector under a Memorandum of Understanding (MoU) on Water since 2000. Now in its fifth phase, the partnership was renewed in 2022 and will remain in effect until 2027.

(Source: VOI)

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