In Indonesia we focus on improving energy supply, increasing agricultural returns, providing opportunities in tertiary education and reducing loss from disasters.

Our aid programme to Indonesia is New Zealand’s largest bilateral programme outside the Pacific. The programme aims to support increasing prosperity in this rapidly developing country, and has a particular focus on the least-developed provinces in Eastern Indonesia. 

Image showing total aid for Indonesia 2015/16

Total aid to Indonesia is made up of programme funding for activities specific to Indonesia, as well as other funding which can include scholarships, regional initiatives, activities supported through the Partnerships Fund, and humanitarian response.

Shared vision

We have a Strategic Framework for Development plan with Indonesia covering 2012 to 2016. This sets out the shared vision of our two governments, specifies the priority areas we’re focused on, the funding we’ll provide and the results we expect. 

Read the Strategic Framework for Development 2012 - 2016 [PDF, 495 KB] 

What we're supporting

We're working closely with the Indonesian Government and local agencies on several aid activities.

Priority Activities and outcomes

Renewable energy
Expand access to affordable, reliable and clean energy

Developing and upskilling the geothermal energy sector to increase production. We’re working with the World Bank on this five year $10.5 million programme.

Implementing training for Indonesia’s geothermal workforce through the University of Gadjah Mada. 

Resilience
Strengthen resilience

Improving the identification and management of natural hazards, and reducing loss from natural disasters. Our Geo Nuclear Science (GNS) institute is working with the University of Gadjah Mada on this $7.2 million project that includes a new online communications system for disaster response.

Agriculture 
Increase economic and food security benefits from agriculture

Improving quarantine services to protect human, animal and plant health and in turn, the economy. This activity promotes the safe trade of agricultural products and will end in January 2016.

Increasing returns from the dairy sector through providing farm production systems, training and support services. This eight year activity aims to improve small dairy farmers’ profits to ensure sustainable economic development.

Education 
Improve knoweldge, skills and basic education

Providing up to 50 ASEAN scholarships each year to Indonesian students for postgraduate study and vocational training in New Zealand. 

Eastern Indonesia
Increased prosperity in eastern Indonesian provinces

Providing small grants in four areas - sustainable economic development, renewable energy, disaster risk management, and conflict prevention – through the $3 million Community Resilience and Economic Development (CaRED) activity in partnership with the University of Gadjah Mada.

Find out more about New Zealand Aid Programme activities in Indonesia [PDF, 310 KB] 

We also support Indonesia through a number of regional initiatives that make up part of the ASEAN programme.

Recent achievements

Priority  Achievement

Renewable energy
Expand access to affordable, reliable and clean energy

Increased the capacity for producing geothermal energy in the Ulubelu province by 79 megawatts, and in the Lahendong province by 22 megawatts (since 2011).

Trained 124 people in geothermal production skills, in partnership with the University of Gadjah Mada.

Resilience
Strengthen resilience

Rehabilitated and reconstructed communities affected by natural disasters in Central Java and West Sumatara. Since 2010 New Zealand has provided $10 million to support the work of the Indonesia Disaster Fund. This has included:

  • assisting more than 280,000 people affected by volcanic eruptions in Merapi and Mentawai in 2010 to recover their homes and livelihoods
  • supporting 327 salak farmers to obtain organic and free trade certification which has increased salak prices by up to 30%
  • training 1,783 people in disaster risk reduction
  • introducing village information systems to improve preparedness and mitigate the effects of natural disasters across 9 Merapi villages.

Built a $3.4 million disaster-resilient classroom, laboratory and library block at Muhammadiyah University to restore quality tertiary education facilities following the 2004 Boxing Day earthquake and tsunami. The new facilities have been used by 5,886 students since opened in September 2014.

Helped reduce infant mortality rates by 81%, and maternal death rates by 87%, through providing 6,335 people with access to safe water in the Hiliduho district. This partnership with Surfaid also trained 32 health professionals.

Agriculture 
Increase economic and food security benefits from agriculture

Trained 27 Indonesia Agriculture Quarantine Head Office managers to improve understanding of risk-based quarantine management. 

Education 
Improve knowledge, skills and basic education

Funded tertiary education for Indonesian students produced 27 graduates in 2014. In 2015, 500 applications were made to the New Zealand – ASEAN Scholars awards, the highest total since the programme started. More than 12% of these were from students in Eastern Indonesia.