Challenges in Developing Bintuni Bay Industrial Zone in West Papua

West Papua
Sumber : Youtube

Have you ever heard of the Bintuni Bay Industrial Zone in West Papua? This development of this industrial zone becomes a hot issue as it affects the ways of life of the locals, starting from the cultural, economic, and social aspects. As the challenges keep coming, the government and all stakeholders work hard to establish the area by following the plan. What challenges are faced by the government in developing Bintuni Bay? Find out the explanation below.

Bintuni Bay Industrial Zone in West Papua

West Papua
Sumber : Celebes

Located in Onar Baru Distrik Sumuri Village, District of Bintuni Bay, West Papua, Bintuni Bay Industrial Zone is one of the National Strategic Projects that the government plans to establish. This project is following Presidential Regulation Number 109 2020 on the Third Amendment to Presidential Regulation Number 3 2016 regarding Acceleration of the Implementation of National Strategic Projects.  

Bintuni Bay is the perfect choice for the development as this area is rich in natural resources, such as marine products (fishery), forest (timber), oil mining, and gas. This industrial zone also has the natural resource potential to support the development of the petrochemical industry. 

Challenges in Developing Bintuni Bay Industrial Zone

West Papua
Sumber : Lontar

To complete the Bintuni Bay Industrial Zone in West Papua by 2024, the government should plan the execution well. Yet, some challenges come during the process of development. Here are some challenges they face.

The budget

With an IDR31,400 trillion state budget prepared, this project is expected to complete by 2024. Yet, many things happen during the project development. As the cases of Covid-19 suspects arise, the government may cut off the state budget for developing this industrial zone. They use the budget to refocus on the prevention of Covid-19 in Indonesia.

Based on the economic report of West Papua province in 2020, the source of income from the import was recorded low. It occurred as the progress of the project construction is influenced by the global pandemic.

Land acquisition 

Building an industrial zone is not easy. One of the challenges that the regional government and developers face is land acquisition. Before the status of the area in Bintuni Bay is other use area (APL), the government has to negotiate with the local community in that area. 

The negotiation is about the resettlement of the land in Bintuni Bay Industrial Zone. Besides that, the government has to make sure that the building of the project will not destroy the environment and harm the life of the local people. When the agreement has been settled, the development can be started. 

Less skillful workers

Bintuni Bay industrial area development requires a lot of skilled workers on the site. The purpose is to make a speedy and efficient project establishment. Besides requiring skilled workers, the government employs the local people from this area to cut off the budget. Yet, many workers have limited skills regarding upstream oil and gas. 

To solve this problem, the regional government of West Papua presents a workshop or training to the indigenous Papuan people to become more skilled in upstream oil and gas. The presence of the Bintuni Bay Industrial Zone must be able to increase the Papuan standard of living in advance without destroying the moral and cultural values the local people believe. 


In conclusion, establishing the Bintuni Bay Industrial Zone in West Papua takes time, money, and preparation. The government must face some problems and challenges. Yet, with good cooperation and coordination with the regional government, stakeholders, developers, and local people, the development of this project is coming to an end. With the existence of this area, the local people in this province, especially in Bintuni Bay, can have a better standard of living without harming their cultural beliefs and environment.