TDMRC USK Engages in Dialogue with Padang City Government Regarding Innovative Disaster Risk Financing Model

Speakers and Participants of the Disaster Risk Financing Model FGD

Speakers and Participants of the Disaster Risk Financing Model FGD

Padang – In a significant step towards fortifying disaster resilience, the Tsunami and Disaster Mitigation Research Center (TDMRC) affiliated with Universitas Syiah Kuala (USK) recently convened a pivotal Focus Group Discussion (FGD) alongside the Padang City Government. This collaborative initiative centered on the exploration of cutting-edge disaster risk financing models, specifically targeting state and regional building assets within the confines of Padang City.

The deliberative session, held on August 28, 2023, at the esteemed Youth Center Building in Padang City, epitomized a formidable confluence of expertise and aspirations. Spearheading the discourse were distinguished figures such as the Regional Secretary (SEKDA) of Padang City, Dr. H. Andree Algamar, and Mr. Roki Winoto hailing from the Director General of Financing and Risk Management (DJPPR) under the aegis of the Indonesian Ministry of Finance.

Catalyzing this endeavor was the generous patronage of the Education Fund Management Institution (LPDP) of the Indonesian Ministry of Finance, as part of its laudable commitment to advancing productive research studies (RISPRO). This financial infusion provided the necessary impetus for robust and forward-looking dialogues on disaster risk financing, acknowledging its paramount significance in the overarching disaster management framework.

Emanating from a backdrop of past tribulations, including the cataclysmic 2004 Aceh tsunami, Padang City’s proactive stance in mitigating future calamities came to the fore. Since 2009, the city has judiciously insured a multitude of buildings classified as Regional Property assets (BMD), coupled with a fleet of vehicles. This prescient initiative underscored Padang’s resolve to avert the staggering losses inflicted by past disasters, imbuing their approach with an informed sense of responsibility.

Elucidating the fiscal gravity of this endeavor, it was disclosed that Padang Municipality annually allocates approximately 6.1 billion Rupiah to underpin its disaster insurance efforts. Bolstering this commitment, Roki Winoto of DJPPR accentuated Indonesia’s overarching determination to bolster the nation’s disaster resilience. This is being pursued through an array of strategic policies aimed at safeguarding assets owned by both the central government (State Property / BMN) and local administrations (BMD). Notable among these strategies is the imperative to encourage local governments to insure their BMD assets, further buttressed by the inception of a disaster pooling fund (PFB) scheme.

Integral to this emergent landscape of disaster risk financing is the pivotal role undertaken by the TDMRC USK

. Collaboratively synergizing with LPDP and DJPPR, the center embarked on an illuminating research trajectory christened as SupeRISKa— an acronym for Decision Support System for Disaster Risk Financing and Insurance based on Hazard Characteristics. This far-reaching undertaking crystallizes as an indispensable tool in assisting the Ministry of Finance, particularly DJPPR, in architecting a holistic disaster risk financing strategy tailored to the intricate gamut of government building assets spanning Indonesia.

As Indonesia stands as a crucible of diverse disaster typologies, characterized by a recurrent pattern of occurrences, the exigency of a robust financing strategy becomes all the more pronounced. At the heart of this endeavor lies the pivotal recognition that the harrowing lessons of the 2004 Aceh tsunami and the 2009 West Sumatra earthquake have indelibly underscored the imperative of proactive preparation. By girding themselves for potential losses ensuing from future disasters, stakeholders collectively lay the cornerstone for recovery and resilient reconstruction.

City Secretary: Dr. H. Andree Algamar Delivering the Welcome Address

City Secretary: Dr. H. Andree Algamar Delivering the Welcome Address

In the vanguard of this transformative conversation, the Head of Bappeda Padang City, Ms. Yenni Yuliza ST. MT, expounded on the multistage undertakings orchestrated by the USK TDMRC Team. These stages, laden with valuable insights, are poised to bestow invaluable guidance upon the Padang City Government’s endeavors.

Moreover, the occasion served as a platform for the unveiling of the SupeRISKa dashboard prototype, adeptly navigating the estimation of losses attributable to a spectrum of disaster archetypes—ranging from earthquakes to tsunamis and floods. Expressing gratitude, Prof. Syamsidik, Chair of TDMRC USK, extended appreciation to the Padang City Government for their wholehearted facilitation of the FGD. Prof. Heru Pahlevi, Dr. Nazamuddin, Adrian Ulza M.Sc, Wan Akmal, M.Si, and Eka Oktavianus, M.Si, from TDMRC USK, further invigorated the discourse through their active engagement with stakeholders in Padang City.

The FGD, an intellectual crucible, saw a convergence of voices from diverse quarters, including representatives from the Padang City Local Government Organization, seasoned insurance practitioners, and academia luminaries from esteemed institutions like Andalas University, Padang Institute of Technology, and Padang State University.

In the arc of the forthcoming year, the mantle of the USK TDMRC team extends beyond Padang City, transcending geographical boundaries to encompass city and provincial governments across Sumatra and Kalimantan islands. This ambitious undertaking envisages a panoramic assessment of the SupeRISKa dashboard’s utility in orchestrating resilient disaster risk financing strategies. Ultimately, this pioneering disaster risk financing model augurs well for Indonesia, kindling a future where resilience stands as the bedrock of disaster management.

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