PROPOSED BUSINESS MODEL FOR A FOREIGN DIRECT INVESTMENT IN AN INTEGRATED GAS NETWORK: A STUDY OF PPP SCHEME IN ENERGY BUSINESS

• Main Author: Pramaditya Putra Pramuka, Pandega
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/53516
• Institution: Institut Teknologi Bandung

Gas Industry, specifically, distribution sectors are one of the highly regulated industry in Indonesia. Therefore, the development of gas distribution sectors is always aiming for the industrial segments due to its complexity and capital-intensive nature. However, to capture the national energy security, the development of pipeline designated for mass market must be developed. To develop the infrastructures without burdening the state budget, government has introduced Public-Private Partnership mechanism to support the national energy resiliency in relation to the gas industry. It was hoped that by the introduction of the Public-Private Partnership scheme will also attract Foreign Direct Investment and maintaining the national plan in regards with the state budget constraints. The objective of this research is to find a business model that will attract foreign investor for the development of the gas infrastructure in Indonesia. This research involves one of the said foreign investor that currently in the process of acquiring the project in Indonesia. The paper also analyses the key factors that influence the business. The conclusion of this research is to formulize the most robust business model canvas so the foreign investor may achieve a competitive advantage.