According to the data of Ministry of Energy and Mineral Resources, the supply from gas resources in West Java and South Sumatra could not cope with the increases in gas demand for industry, electricity and fertilizers in West Java. Therefore the industries, which mainly in western region of Indonesia (Sumatra and Java), require gas supply from outside these region. This has underpinned the importance of having an integrated gas support that would support long-term industrial development such as Floating Storage Receiving Unit (FSRU).
While FSRU project has become one of national priority development programs, the constraints of the project came from external factors, such as location permit from DKI Jakarta Provincial Government. UKP4 (Unit Kerja Presiden Bidang Pengawasan dan Pengendalian Pembangunan) as the Presidential delivery unit has to overcome the constraints of the project in order to be realized.
The methodologies of this final project are observation, internship and also site visit to FSRU project. This final project focuses on designing the project stakeholder management (PSM) and risk management system for UKP4 by using the Dispute avoidance and resolution framework.
From the observation and site visit, the UKP4 current system could monitor and escalate the challenges to the Vice President level and recommends the solution to become a strategic decision. Nevertheless, the author finds there are spaces for improvement such as project initiation which expectedly reduce the conflict between the central government and the local government in the future.
The PSM and risk management approach was designed to be implemented by UKP4 in order to improve the current system with better accuracy.