ANALYSIS OF THE IMPACT OF CIPALI TOLL ROAD ON ECONOMIC ACTIVITIES OF TRADE AND SERVICES IN THE PASSED AREA

• Main Author: Sya'bana, Isya'
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/76705
• Institution: Institut Teknologi Bandung

The policy of accelerating infrastructure development is one of the general development policy directions in the RPJMN 2015-2019 and RPJMN 2020-2024 where one of the priority programs is toll road development with a target of 2,500 km of new toll roads built including the Trans Java toll road from Merak to Banyuwangi connected by 2024. The 116 km Cikampek-Palimanan (Cipali) toll road is part of the Trans Java toll road which has its own uniqueness, namely as the longest toll road in Java. In accordance with Government Regulation (PP) Number 39 of 2006 concerning Procedures for Control and Evaluation of the Implementation of Development Plans, the implementation of policies/programs/activities needs to be evaluated to assess its success where the success of public policy can be seen from the comparison between the results obtained with the objectives specified in the public policy, while according to PP Number 15 of 2005 concerning Toll Roads it is stated that the purpose of toll roads is to realize equitable development and increase efficiency in order to support increased economic growth, so it is very important to evaluate the impact of Cipali toll road development on the economy of the area through which it passes. This study limits the scope of the research area to villages, and uses 2014 Village Potential (Podes) data from BPS as pre-treatment data and 2019 Podes data as post-treatment data where the Podes data used consists of covariate variables / characteristics of villages, namely population density, livelihoods, types of road surfaces, and drinking water sources and outcome variables of trade and service economic activities consisting of non-permanent market ratios, minimarket ratios, grocery stall ratios, restaurant ratios, food stall ratios, and hotel and lodging ratios. This study uses descriptive analysis methods of mean and standard deviation values to answer research objectives related to the identification of conditions and growth of trade and service economic activities in the period before and after the construction of the Cipali toll road in villages in the districts passed by the Cipali toll road, and uses the Difference these Differences (DiD) method combined with Prospensity Score Matching (PSM) and Prospensity Score Weighting (PSW) to identify the impact of the Cipali toll road on trade and service economic activities in the area passed by the Cipali toll road. The results showed the existence of inequality in the distribution of the existence of almost all outcome indicators of trade and service economic activities in villages in the districts passed by the Cipali toll road used in this study, namely non-permanent markets, minimarkets, restaurants, food stalls, and hotels and inns except the outcome indicator of grocery stalls, both in the period before (2014) and after (2019) treatment of Cipali toll road construction. From the results of the paired t-test, it is known that almost all outcome variables (non-permanent markets, minimarkets, grocery stalls, restaurants, and food stalls) experienced significant changes from baseline (2014) to after treatment (2019) except for the outcome variable of hotels & inns. Then the results of the toll impact estimation show a positive significant difference in the outcome variables of minimarkets, restaurants, and food stalls which indicates that on average, after the construction of the Cipali toll road, the trend of increasing outcome variables in villages passed by the Cipali toll road is higher by the estimated coefficient when compared to villages not passed by the toll road in the same district. For the outcome variable of grocery stalls, the estimated impact is significantly negative, while the variables of non-permanent markets and hotels and inns are not significantly changed. This study can provide additional insight into how the identification of the condition and development of economic indicators of the trade and services sector of the village in the districts passed by the Cipali toll road before and after the construction of the Cipali toll road and the effect of the construction of the Cipali toll road on the economic indicators of the trade and services sector of the village through which it passes. Our study is able to show the impact of toll road construction on the trade and service sector economy of the villages through which it passes. Our findings highlight the need for government policy intervention to further trigger positive effects on the economy of the areas through which the toll roads are built.