Human Resources Investment for Smart City Sustainability in Indonesia’s New Capital City

  • 14/08/2024
  • Category: Commentaries
No Comments

Author: Anisya Ratna Komalasari
Editor: M Perdana Karim

The discourse related to the relocation of the Indonesian Capital City from DKI Jakarta to the New Capital City, Nusantara Capital City (IKN), is a political phenomenon that has been echoed for a long time. The government’s agenda to encourage nationally equitable development makes this idea to be realized immediately. Along with the enactment of Law Number 3 of 2022, the IKN located in East Kalimantan Province has been developed by carrying the concept of Future Smart Forest City. The idea of a smart city refers to urban development using technology to improve the quality of life and sustainable development.1 Implementing a smart city offers opportunities, accessibility, and speed to support data-based business and operational processes. However, in the context of IKN, the smart city development process is still colored by the issue of social inequality. National growth and development, which were previously Java-centric, have had an impact on the economic and educational backwardness in other regions, including East Kalimantan. The significant gap is shown through the Human Development Index (HDI) of East Kalimantan, which is at 77.36 compared to DKI Jakarta, which reached 82.77 in 2022.2

The East Kalimantan region, where various indigenous peoples live, presents social challenges in developing digital infrastructure in the IKN. If the social challenges in the development of digital infrastructure are not managed properly, the complexity of the problems that occurred in DKI Jakarta could potentially reoccur since being designated as the de jure Capital through Presidential Decree No. 2 of 1961 in conjunction with PNPS Law No. 2 of 1961, the growth and urbanization rate in DKI Jakarta has increased. The emergence of various problems, such as social inequality, environmental sustainability, livable housing, and the marginalization of the Betawi Tribe, has become something that cannot be avoided. This situation is indicated by the trend of the severity and depth of poverty index in DKI Jakarta, which has tended to increase in the last five years (Picture 1).3


Source: BPS Jakarta, 2022.

Digital infrastructure in smart cities represents various urban social interests. It is essential to support the city’s role as an inclusive social space.4 In this case, human resources investment plays an important role in the process of adopting, adapting, developing, managing, and sustaining digital infrastructure in the IKN.

The idea of ​​a smart city is closely related to the ability of human resources to study digital platforms and ecosystems. In the context of the IKN, the quality of human resources refers to the ability of the community to adapt and the government bureaucracy governance to the development of digital technology. East Kalimantan is home to various indigenous communities such as the Bukat Tribe, Ohong Tribe, Penihing Tribe, Punan Tribe, and Busang Tribe in West Kutai; Modang Tribe in East Kutai, Basap Tribe in Bontang and Ahe Tribe in Berau.5 The Indigenous communities in East Kalimantan have an issue with the educational gap and social characteristics that present major challenges for residents in integrating with technology. The government will likely carry out massive urban penetration to meet the human resources revolution that is following the needs of a smart city. Uncontrolled migration flows will cause cultural shocks for indigenous communities that potentially threaten their existence. This situation can weaken their ability to adapt to technological transformation, which causes indigenous communities to be alienated from their territory.6

On the other hand, the planning and governance of the IKN need to make indigenous people the mainstay of development to realize an inclusive and sustainable National Capital. Immensely rapid socio-cultural changes have the potential to cause conflict due to the marginalization of residents from government employees and business people who present obstacles in the adaptation of smart city spatial planning.7 8 Reflecting on the implementation of smart cities in Jakarta, massive urbanization has weakened the social, cultural, economic, and ecological resilience of the Betawi Tribe to the point that they have to shift to the outskirts. The displacement of the Betawi Tribe to the outskirts has caused them to experience decreased access to urban technology and diminishing their opportunities to be involved in the development of the digital ecosystem.9 If this happens again in the IKN, these social problems will become obstacles to realizing inclusive and sustainable equality.

Limited educational background and other cultural aspects make it difficult for indigenous people to be accommodated in the digital infrastructure transplantation in the IKN. At the same time, the number of villages in East Kalimantan, most of which are home to indigenous peoples, has experienced a fairly high telecommunications blank spot, namely 271 villages or 30 percent. This reality can be a major obstacle for residents in improving their digital literacy skills and achieving digital inclusion.10 Digital literacy is the ability to use technology, information, and communication devices to support various activities that encourage equalizing quality of life. Improving digital literacy skills for residents in the IKN is the key to them being able to compete with newcomers and meet the demands of the labor market in the smart city.11 Developing digital infrastructure without being accompanied by efforts to improve digital literacy will push residents further marginalized and make it difficult to survive because many still depend on traditional methods.

Moreover, the success of smart city development in the IKN also depends on government support for human resources. They will play a vital role in adopting and developing the digital ecosystem and creating targeted policies. The readiness and support of local government policies responsive to change are crucial for the success of the capital city relocation to the IKN.12 In this case, the government should also be able to integrate a participatory urban ecosystem for local communities and safeguard local traditional heritage.

Community participation is a supporting factor for the success of governance that can guarantee legitimacy and enable the creation of collective commitment.13 14 The government can engage residents in various collaborative initiatives through empowerment programs and aspiration gathering to enhance their knowledge, skills, and opportunities, thereby enabling them to shape the future within the framework of a smart city. So, they can contribute to the development of the IKN and accelerate the achievement of social welfare. To achieve this, the government must implement a bureaucratic model that aligns with smart city concepts.15

Optimizing human resources is a significant investment in ensuring sustainable future development. This strategy minimizes horizontal conflict due to cultural and technological penetration and prevents social inequality due to residents’ alienation. Generally, human resources are optimized through education, socialization, adaptation, accommodative training, and supporting facilities.16 Efforts to increase knowledge are beneficial for enhancing the government and society’s capacity to implement digital transformation in the IKN. Thus, developing the quality of human resources for bureaucratic governance and the general public is a determinant for the success of smart city development in the IKN.

  1. Presidential Regulation. (2022). Peraturan Presiden Nomor 63 Tahun 2022 Tentang Perincian Rencana Induk Ibu Kota Nusantara (Number 63 of 2022 concerning New Capital City Master Plan). Retrieved from https://ikn.go.id/tentang-ikn ↩︎
  2. Badan Pusat Statistik. (2024). Indeks Pembangunan Manusia Menurut Provinsi, 2022. Jakarta. ↩︎
  3. Badan Pusat Statistik Provinsi DKI Jakarta. (2022). Profil Kemiskinan Provinsi DKI Jakarta 2022. Jakarta: Badan Pusat Statistik Provinsi DKI Jakarta. ↩︎
  4. Latham, A., & Layton, J. (2019). Social infrastructure and the public life of cities: Studying urban sociality and public spaces. Geography Compass, 13(7), e12444. ↩︎
  5. Sujana, I. N. (2019). Penguatan Hak Penguasaan Tanah Adat Masyarakat Hukum Adat di Kalimantan Timur sebagai Rencana Ibu Kota Negara. Ganaya : Jurnal Ilmu Sosial Dan Humaniora, 2(2-2), 49–57. Retrieved from https://jayapanguspress.penerbit.org/index.php/ganaya/article/view/371  ↩︎
  6. Kalalinggi et.al. (2023). Forecasting The Development of IKN (New National Capital) in Sustainable Development, Indonesia. Journal of Governance and Public Policy Vol 10, No 1 (2023): Page no: 48-59. DOI: https://doi.org/10.18196/jgpp.v10i1.16786. ↩︎
  7. Bappenas. (2020). Naskah Akademik Rancangan Undang-Undang tentang Ibu Kota Negara. ↩︎
  8. Sutanto, H. P. (2022). Transformasi Sosial Budaya Penduduk IKN Nusantara. JSKP: Jurnal Studi Kebijakan Publik, 1(1), 43–56. https://doi.org/10.21787/jskp.1.2022.43-56. ↩︎
  9. Ocsanda, D., Wijaya, C. I., Al Haq, M. A., Efendi, J. D., & Prihantoro, F. (2023). Oportunitas Pembentukan Entitas Kebudayaan Baru, Tinjauan Ibu Kota Negara (IKN) Indonesia 2024 terhadap Perpindahan Ibu Kota Voc 1619. Jurnal Kebijakan Pembangunan, 18(1), 1-12. ↩︎
  10. Sutanto, H. P. (2022). Transformasi Sosial Budaya Penduduk IKN Nusantara. JSKP: Jurnal Studi Kebijakan Publik, 1(1), 43–56. https://doi.org/10.21787/jskp.1.2022.43-56. ↩︎
  11. Evita, N., & Mukhaer, A. A. (2022). Evaluasi komunikasi dan literasi digital warga jakarta dalam implementasi society 5.0. Jurnal Riset Komunikasi, 5(2), 172-186. ↩︎
  12. Park, & Choi. (2011). Study on the Typology and Functions of Policy Brokers in the Advocacy Coalition Framework: The Case of Sejong City). Korean Journal of Public Administration, 49(2), 103–125. ↩︎
  13. Mohammadi SH, Norazizan S & Nikkhah HA. 2018. Conflicting perceptions on participation between citizens and members of local government. Qual Quant 52, 1761–1778. https://doi.org/10.1007/s11135-017-0565-9. ↩︎
  14. OECD (2009), Focus on Citizens: Public Engagement for Better Policy and Services, OECD Studies on Public Engagement, OECD Publishing, Paris, https://doi.org/10.1787/9789264048874-en. ↩︎
  15. Farida, Farida. (2021). Indonesia’s capital city relocation: A perspective of regional planning. Jurnal Perspektif Pembiayaan dan Pembangunan Daerah Vol. 9 No.3, July – August 2021, ISSN: 2338-4603. DOI: 10.22437/ppd.v9i3.12013. ↩︎
  16. Rifaid, R., Abdurrahman, A., Baharuddin, T., & Kusuma, B. M. A. (2023). Smart city development in the new Capital City: Indonesian government plans. Journal of Contemporary Governance and Public Policy, 4(2), 115-130. ↩︎