M EMO R-AN D4 U M

i TO C Kiser - AID

FROM E Y Lam - Bechtel CETAI

DATE November 6 1987 SUBJECT CETAP Indonesia Field Activity Final Report

COPY A J Sabadell - AT

Enclosed is a copy fo the subject report entitled Bechtel Support Activitiesshyfor LSDE for the record of the Office of Energy Copies of this report have been submitted to AIDJakarta Mission and BPPTeknologi per contract requirement

SErnest YLam EYLmlm Attachment 0828p

1

Fplusmnnal Report

BECEtL SUPPORT ACTrIVITIES

FOR

Sutb itted to

US AID Jakarta

BPP Teknologi

July 31 1986

I INTRODUCTION AnD PURPOSE

This report discusses work undertaken by Dr DP Lijesen of Bechtel International Inc in support of the development of the Laboratorium SumberDaya Energi (LSDE) by BPP Teknologi In the remainder specific activities are summarized and observationsconclusions based on current perceptions arestated Finally a set of recommendations is formulated related to continued development of LSDE

Contractually Bechtels work for BP Teknologi is based on a technical services agreement between BPPTeknologi and Bechtel dated April 1 1986 andamendment No to US3 AIDs contract with Bechtel National Inc No LAC-5724shyC-00-5126-00 The scope of work is provided in Appendix A Work was initiated on January 13 1986 and was completed within a period of 135 working days

With respect to the scope of work presented in Appendix A it isexplicitly noted that deviations from the scope-the likelihood of which wasanticipated in advance-were necessary because of the following major reasons

o CCCT Research Institutionalization of LSDE and of the CCCY Division in particular has not taken place yet In addition no CCCT Division personnel is yet assigned aAs result the focus on CCCT Research as reflected in the scope was premature

o Existing Energy Projects Review of existing BPP Teknologi energy projects including factors germane to the overall planning and operation of the LSDE required significantly more time than originally anticipated (ie Tasks 1 2 5 and 6 of the scope) This work was documented by Bechtel in the reportSurvey of Energy Research at BPP Teknologi A Preliminary Review and Evaluation May 1986 As a result Tasks 3 and 4 of the scope have received minimal coverage

Advisory Services At the direction of AIDUS Jakarta and BPP Teknologi Dr Lijesen was requested to expand the advisoryservices reflected in Tasks 7 and 8 of the scope Upon completion of the above referenced report the entire effort was directed toward development of a project network plan for

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transforming the LSDE project from its current state to a ful1 functioning energy research laboratory at Serpong in the future This required a concentrated effort to (1) establish neede developmental activities (2) formalize structure and functions of a LSDE project development team and (3)articulate specificmilestones in terms of a proposed opening date for the laboratory initial conditions to be met by BPP Teknologi and a set of milestone achievements that could be used by US AID to judge prpgress on the overall project

Due in large part to the above reasons the nature of Bechtels services for the LSDE project can be characterized as advisory relative to a very largenumber of separate subjects and activities The main ones are highlighted in the following section

II SUMMARY OF ACTIVITIES

Activities undertaken can be broadly categorized as follows The timeframe during which these activities were undertaken is indicated

Review Draft Masterplan (January-February 1986) The draft masterplanissued in August 1985 was reviewed in detail Resulting review comments wereprovided to Dr D Anson of Battelle as input to finalizing the msterplanUnfortunately few if any were inborporated in the fnal LSDE masterplan issued by Battelle in February of 1986 Main concerns regarding the draft masterplan were as follows (1) lack of separation between the vision of LSDE as a future institute and problems associated with implementing this vision (2) too much emphasis on concepts and methodological material as contrasted to down to earth descriptions of work and projects to be undertaken by LSDE (3)lack of rationale based on real needs to be met by LSDE for the selected prioritiesand thrust of LSDE (4) omission of a discussion of and plans for the orderlydevelopment of the physical faclities at Serpong (5) omission of explicitrequirements for coordination and cooperation between LSDE and other GOI institutions in terms of personnel exchange execution of projects etc (6)lack of concern for moving from a situation in which BPPT conducts a largeenergy research program to a future situation in which energy research is conducted at BPPT and at LSDE

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Project Assessment to US AID (January 1986) An initial assessment was provided of problems hampering the smooth implementation of the LSDE projectThis included an assessment of the status quo a review of options to proceed and a set of recommendations aimed at specific modifications in project execution

Assistance to Battelle (February 1986) Due ro generally perceived inadequacies in the current project execution assistance was provided to Battelle in articulating options to modify the course of action followed This included changes in project team and changes in the Zattelle-BPPT contract Discussions were held with US AID and Battelle representatives to this effect However no immediate changes were implemented at that time

Formation BPPT Assistance Team (February 1986) With the help of Dr Ing Wardiman Djojonegoro six BPPT staff members were identified to assist in the data collection and analysis for the review of existing energy projects Training meetings were held and plans were made for this specific task This team assisted Bechtel in the development of the report mentioned below

Assistance in Establishina Steering Committee (February 1986) The need to establish a LSDE Steering Committee was considered of paramount importance to improve decision making regarding the LSDE project Discussions were held with Battelle and Dr AB Van Rennes Subsequently a charter for the committee was drafted which was submitted by Dr AB Van Rennes to Dr Haibie The latters approval led to official establishment of the now functioning Steering Committee

Review BPPT Energy Projects ( March-May 1986) A major effort was undertaken with the help of BPPT staff to analyze some sixty five on-going projects at BPPT The major objective of the report developed in this effort was to identify problems and solutions associated with the implementation of the masterplan in addition to identification of BPPT projects that should become part of LSDE Based on extensive review of the BPPT planning process and systems recommendations were provided under the following headings (1) The value to LSDE of demonstration projects (2) The need for Cooperative Research Agreements (3) The Disposition of BPPT Energy Projects- (4) The Need for Information Systems (5) Toward Improved Research Manaement (6) Continued Research Review and Evaluation and (7) A Discretionary D)evelopment Budget for LSDE A copy of title page and table of contents is provided in Appendix B

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Assistance to US AID (April 1986) A key problem in the execution of the LSDE project is the lack of understanding on the side of BPP Teknologi regarding US AIDs perspective and expectations for this particular project To facilitate removing this stumbling block a draft status report was prepared articulating US AIDs point of view The key issue addressed (following the arigirml LSDE project paper dated August 1982) was the need for quantifiable project cutputs and project milestdnes to be used as a means to judge satisfactory progress on the project and most importantly to justify appropriate expenditures of US loan funds

Presentation Steering Committee (June 1986) On June 9 a special steering commttee was held to discuss the review of BPPT energy projects and related issues The slide presentation used is included as Appendix C Specificapprovals were requested from the Steering Committee as identified in slide 17 of Appendix C By and large the steering committee was receptive to ideas presented although no explicit decisions were made A great deal of discussion centered around institutionalizing LSDE by means of a Surat Keputusan (SK) signed by Dr Habibie Disagreements and problems with US AID were noted and it was decided that BPPT should make its position clear by means of a letter to US AID signed by Dr Habibie Bechtels assistance was requested to draft this letter

Continued LSDE Proect Development (JuneJuly 1986) At the request of Mr D ORiordan of US AID and with the concurrence of Dr LM Panggabean Bechtel was asked to develop a PEMT-TYPE chart of all major activities that would have to be undertaken to establish LSDE as a fully functioning laboratory Of particular concern to US AID were the assurances required to justify the major investment in procurement of fuels and combustion equipment In particular if US AID would approve such procurement it should be crystalclear in advance that there would be (1) a routine budget to keep the equipment operating and maintained (2) provisions for spare parts workshopsand supplies to keep equipment in ready order (3) supporting general laboratories needed for fuels and combustion research (4) a well thought out and long term research plan for the equipment identifying specific projects and clients which would be served with the equipment and (5) adequately trained research maintenance and operational staff to run the equipment The effort to plan the continued development of LSDE has resulted in three major proposals 1)Opening of the laboratory on April 1 1988 (2) Establishment of a special

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LSDE project development team and (3) A set of milestones to be achieved by the LSDE project team The latter-if and when achieved-would allow US AID to make a gono go decision on the procurement of fuels and combustion equipment (See Appendix D for details) On July 11 a meeting was held at US AID to discuss the above proposals Agreement in principle by both US AID and BPPT was obtained to continue on the identified courn nf art4nn

MaJor Procurement (JuneJuly 1986) Equipment for fuels and combustion research as proposed by Battelle was reviewed and a proposal was made to procure all equipment as one package and to maximize local content in the entire design engineering manufacturing construction and erection sequence To meaningfully structure such procurement process it was proposed to institute the function of an independent and technically qualified representative of the owner who could safequard the legitimate interests of bothUS AID and BPPT Ashycandidate for this function was introduced to both US AID and BPPT Pending contractual arrangements it is expected that this proposed procurement process will be followed

Assistance to LSDE Proect Development Team Following the above mentioned July 11 meeting Bechtels sole effort has been directed toward coaching training and organizing the various task groups of the LSDE project development team This has included numerous meetings with BPPT staff members assigned to the (1) Information Systems Development Task (2) Institutional Development Task (3)Planning Task and (4)Operations and Facilities Task (See Appendplusmnix D) Generally the objective of thesemeetings to identifywas in greater detail and with increased accuracy the tasks to be undertaken by the various groups within the set of milestone dates agreed upon in the July 11 meeting

III OBSERVATIONSCONCLUSIONS

Although the nature of Bechtels involvement allows for many relevant observations and conclusions it is felt sufficient to highlight only those that are relevant to the continued development of the project

Project Complexity The project to develop an energy research laboratory at Serpong is of enormous complexity a fact which wan nnt o4irma

enough attention by those who designed the project To understand this complexity three specific difficulties are identified (1) Conceptual difficulties (2)Difficulties associated with moving the project forward (3)Difficulties associated with the transition from energy research at BPPT to energy research at BPPT and LSDE Conceptual difficulties relate to the problem of articulating in specifics the research priorities to be persued at LSDE Thus in setting up LSDE it is extremely important to determine precisely what products (hardware and software) and-services LSDE will provide Since LSDE is intended to be application and user oriented it is inescapable that LSDE is a market driven organization Therefore it is of paramount importance that information is available to identify priority users and priority user problems Without such information it is difficult to properly set the direction for LSDE Even until today such information is not sufficiently available as it specifically relates to a detailed insight into the Indonesian needs that LSDE will have to serve

A project in which it is not entirely clear what the end point is is encumbered by arduous decision making complicated resolution of issues slow building of concensus etc because there is no clear roadmap The roadmap evolves as the project comes along To move such projectalong requires strong and decisive but flexible project management to literally steer the project along an uncertain course Decisions on deviations in direction are required frequently to achieve an acceptable endpoint Although for such projects the PERT technique can be helpful in focussing attention and effort it seldom is entirely adequate as contrasted to using PERT for managing construction of for example a complicated bridge or any other complicated but well understood logistical operation

In addition to the above difficulties the status quo existing at BPPT pro-rides an important difficulty associated with LSDE development There are numerous examles to illustrate this difficulty such as the most talented staff needed for the LSDE project -frequently is busywith other priority projects BPPT is an existing organization with existing systems which are not necessarily adequate for LSDE plans budgets and activitie3 at the future LSDE will to some degree infringe on existing responsibilities projects budget allocations etc In summary this transitional problem requires detailed insight into BPPT as an agency in order to come up with solutions that are acceptable by those currently in commnd

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US AID and BPPT Project Perspectives A lingering discrepancy between BPPT and US AID regarding their respective perspectives on the LSDE project has been the cause for much delay and friction Simply stated BPPT views the rapid development of technical programs and equipment as the highest priority In this view all other concerns such as institutionalizing the laboratory obtaining budgets having appropriate staff and management etc are valid concerns However they are of secondary nature Time will take care of these and one has to trust that in time satisfactory solutions for these concerns are developed In sumary BPPT is comfortable with donors providing hardware and initial program development From then on BPPT will take care of the rest US AID on the other hand and based on experience with similar projects in other countries is very concerned that all necessary conditions are met that will assure that US loan funds are utilized in the most efficient manner Thus in this view one needs to prevent at all cost that white elephants are created or that projects simply become equipment drops

Over the last couple of months significant progress has been made to bring the two perspectives closer together The possibility that US AID may not approve the procurement has been an effective katalyst in the discussion It should be noted however that there is merit in both perspectives and that BPPTs point of view is not necessarily irrelevant Ultimately the success of LSDE is based on technical accomplishments which depend on the ability of LSDE staff members to master technical problems using appropriate equipment Thus the focus on being able to work technical problems as soon as possible is quiteValid In this view one can spend far coo much time on socalled planihing and never get down to the actual technical problems US AIDs perspective is also valid in the sense that ISDE may never achieve the technical accomplishments if the necessary conditions in terms of budgets manpower etc are not satisfied Thus LSDE may have equipment but can not really use it Clearly what should happen is that US AID and BPPT arrive at a common perspective in which US AID facilitates that technical work at LSDE ill be initiated as soon as possible while BPPT becomes more conscious of potential but realistic shortcomings of unplanned development Continued discussion on this issue will be of considerable value to BPPT in particular as it relates to formulating a response to other donors interested in providing equipment for energy research LSDEs capability to absorb and effectively utilize such equipment is a key factor in formulating this response

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People The Weakest Link Plans for continued LSDE project development have been agreed to in principle This is reflected in Appendix D However it should be realized that formulation of plans is comparatively the easy part of the job These plans will have to be implemented by BPPT staff members assisted by expatriate staff Although this observation is trivial in nature it is considered key in the continued development of LSDE Making the plans does not insure successful compltion of laboratqiy development Thereal question that should be addressed is Will the staff assigned theto project be able to do the planned tasks In this regard continuous staff performance monitoring is a necessity In addition and when the need arises BPPT should be prepared to strengthen the LSDE project team by exploring utilization of staff members from deputy areas outside KKE Furthermore it is believed worthwile if US AID would provide advice to BPPT in this respect based on frequent and detailed monitoring of performance of the LSDE project team

Technical Assistance to BPPT Staff Based on close association with the ISDE project team it is concluded that BPPT staff members need technical assistance in virtually all aspects of LSDE project development as contained in Appendix D This assistance runs the entire gamut from development of information systems to planning specific technical projects to setting up operational training programs to procurement of equipment etc In this regard it is useful to continuously correlate two facts (1) the complexity of the LSDE project as discussed earlier and (2)the age and lack of experience of BPPT staff members assigned to the LSDE project Equally important to recognizing the need for broad based technical assistance is the form in which assistance is provided It is concluded unequivocally that the most useful form is day-to-day guidance in which BPPT staff is mentored In particular this requires that expatriate advisors shoulder the same tasks as the BPPT staff They become the mentors who jointly with the BPPT staff execute all activities identified in Appendix D

RECOMMENDATIONS

Because of the overriding iportance of maintaining current project momentum it is felt important to-restric recommendations to the succesful

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IV

icontinued LSDE project development That is recommendaions are related tc events that have taken place during late June and July 1986

Agreement between US AID and BPPT During the July 11 1986 meetingbetween US AID and BPPT progress was made towards reaching better understanding between BPPT and US AID regarding the project It is important that this understanding be forma3ized and that agreement on how to continue with the project be officially recorded as a milestone by itself Not only will such formalization enhance commitmnt to the project by both sides but it will help to formally establish agreed-to milestones It is believed that this will provide added impetus to both BPPT and US AID to achieve the milestones that were established

Communication with Dr Habibie Continued development of LSDE is by no means an easy task The task is complex for reasons discussed in the previous section However and in reality the task is even more complex because development of energy research requires within BPPT active cooperation between the various deputy areas An important initial step was made by the establishment of the Steering Committee In addition to this it will be required that the LSDE project team be strengthened with personnel from other deputy areas if and when the available personnel of MKE is not sufficient to undertake assigned jobs Similarly to move projects to LSDE ie those currently executed outside KE but which clearly belong within the scope of LSDE requires active cooperation thronghout BPPT The important aspect to realize is that work in the future LSDE is certainly not restricted to IME To put it in different words development of LSDE is a responsibility for the whole of BPPT It is for the above reasons that direction and advice be obtained from the chairman of BPP Teknologi It is fully expected that requestsfor such direction be well received The implication of the above is that Dr Habibie be appraised of the progress of the project on a regular basis This is particularly relevant in view of the planned official opening of the laboratory on April 1 1988 an event which should receive wide recognition It is recomended that at this point an official response toto Dr Habibies letter JS AID is most appropriate and should not be delayed Followed up by a meeting his may assure that attention on and support for the LSDE project is greatly

Lntensified

Day-to-Day Mentoring As earlier discussed plans frequently are ierely ideas In particularw-ith respect to continued development of the

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project it will be necessary that BPPT staff be mentored on a day-to-do basis Clearly this has implications in terms of expatriate manpowe requirements and effort devoted to the project The implications of doing thi should be analyzed as soon as possible and where necessary contracts t obtain such intensive support should be formulated and signed as soon a possible The current project momentum will be severely affected if thes matters are not quickly taken care of A delay of even one month will directli impact the achievement of milestones discussed in Appendix D

Projiect Management In a complicated project such as the development o LSDE and with a fair number of expatriate advisors project management is a ke issue Strong and decisive leadership in such situation is a must It is il this role that BPPT will need a great deal of assistance from expatriatt advisors However this assistance should exceed the more traditional advisor3 consultants role In fact it is recommended that the management advisor taket explicit responsibility to help BPPT achieve the agreed upon milestones ane that work performance by the consultant be related to these particulaz achievements It is recommended that US AID assists BPPT in achieving a satisfactory relationship with its management advisor recognizing that tc achieve this may require drastic changes to the status quo

LSDE Priorities Lack of a well defined set of technical priorities for LSDE is considered to be a high priority problem in and by itself Although the masterplan establishes priorities their rationale is still weak In particular if BPPT would have to communicate its LSDE plans and priorities to prospective users andor donors it is felt that a well developed starting point for the discussion is still missing The link between ISDE projects and priorities and actual (present and future) needs in Indonesia has only been established in concept Establishing this link in specifics will requireonsiderable time However efforts to do so should start as soon as possible It is for this reason that one of the project milestones to be met in JulyAugust 1986 1s the effort to scope an industrial energy- use stiddy This

nths study should be focussed specifically on establishing priority user ndustries as well as other users and on specific energy problem areas or Lreas of opportunity in which LSDE could play a specific role Although the iroblem of setting research priorities for LSDE has been discussed many times t should be recognized that this problem does not disappear by itself It will equire some concentrated initial effort to become more knowledgeable regarding lossible solutions

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3

Project Work Focus The development of LSDE so far can be characterized by a relatively high degree of conceptual thinking This is quite natural for this type of project However it is recomnended that from now on the work focus shifts to more specific issues In particular all efforts should be directed to assure the opening of the laboratory on April 1 1988 in a manner fully satisfactory to BPPT and US AID Overall the objective of the assistance effort supported by US AID should be to maintain current project momentum and to assure that EIPT is in the best possible take-off position to continue on its own once the loan period ends ie August 31 1989 In this regard and in full conformance with the project plan sumarized in Appendix D specific emphasis should be placed on strengthening the three weakest areas

o Ability to plan and set laboratory directioand priorities o Availability of trained staff o Abi lty to execute specific technical projects in a technically and

scientifically acceptable manner

US AID Support Finally and as the saying goes one sunny day does not make sumner continued and strong US AID support is a must for the project At present a considerable group of BPPT staff members is actively working on the project and expectations of success and work spirits are highHowever it should also be realized that the meeting on July 11 may not have resolved all problems between US AID and BPMT It is recommended that if there are remaining lingering doubts on the side of US AID they be resolved as soon as possible With every day passing project momentum is increasing and therefore any drastic change in commitment or direction would have increasingly more serious implications

3D-11-

APPENDIX A

sCOPE OF WORK

OF

BECHTEL sUPPORT SERVICES

FOR

DEVELomENTO LSDE

TECHrICAL SERVICES CRDE NO 4

SCHEDULE

ARTICLE I - TITLE

Puspiptek Energy Reserach Laboratory -Tecbnical -ssistance to LSDE

-ARTICLE 11 - OBJECTIVE

Bechtel services in support or LDamp are directed to cooperatewith Battelle in achieving the following

- Incorporation of projects related to charter mission andgoals of the CCCT Division and currently ongoing throughoutBPPT into LSDE

Identification and formulation of CCCT research projectsmost appropriate to LSDE in view of its mission and goals

Prioritization of CCCT Research projects

Close liaison between LSDE and other Indonesian energyrelated agencies to assure that research work within the CCCT Division satisfies real needs

Close liaison between LSDE and Indonesian industry to assurethat research work within the CCCT Division is applicable to and useful to Indonesian industry

-Acceleration of developing LSDE staff capability to preparethe annual operating plan for the CCCT Division

ARTICLE III - STATEMENT OF WORK

To assist in achieving the above objectives Bechtel shallundertake the following tasks Execution of these tasks will bezoordinated with the Battelle Project Manager in accordance with the guidance provided by the Master Plan

Task 1 Review LSDE Master Plan Contractor shall review theiSDEmaster plan in detail to determine basic direction of lahorashytory development in terms of mission goals organization etcSuggestions will be provided on the implementation of the Master Plan

Task 2 Analysis BPPT Projects Contractor shall make ananalysis and inventory of all current BPPT projects which intheir definition are closely related to the charter of theLSDECCCT Division An assessment of their usefulness to LSDEshall be made Where warranted specific recommendations shallbe made to Battelle and LSDE management on how to incorporate

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these projects within the programr of workSpecific emphasis will be plIaced 7on for the CCCT Division

accelerating LSDEsof development by building upon results and process

accomplishments olcurrent projects Task 3 Review GOI Agency Work related to the CCCT DivisionContractor snall hold interviews and discussions with variousagencies in order G0Ito identify specific needsIncluded in the agencies

that LSDE can serve are the of andMinis try MinesPR Tambang Batubara Energy

Mineral PT Bukit Asam PLN Laboratory forDevelopment LIPI variousand universities Thesediscussions will also identify how these institutionsstaffs can contribute to research to

and theirbe undertaken within theLSDECCCT Division

Task 4 Industrial Use of CCCT Research Critical to LSDE isthe line between its research and =e use ofindustry this -research inA preliminary screening shall -be made as to the typeof existing companies in Indonesia that can benefit from the workdone in the CCCT Division as -well as the type of new companiesthat can be envisioned based on CCCT research In bothemphasis shall be casesplaced on a realistic assessmentlinkages of the type ofthat the CCCT Division should start pursuing immediately Task 5 Project Formulation and Prioritization Bechtel willwork with te Battelle team and shall develop recommendedcations to modifishyexisting projects and suggestions for new projects allbased on the results of Tasks 2 through 4 The important resultis not to achieve detail for each project but to arrive at clearlyunderstood definitions of

considering what these proj ects should achievethe LSDE mission LSDEs relationship to the work ofother GOI agencies and its relationship to Indonesian industry

Priorities will be recbmmended based on the criteria estabshylished in Masterthe Plan and those subsequenuly developed by theBattelleLSDE project team Task 6 Proiect PaDers The following project papers shallbe provided to USATD Lndonesia

nanagement as a tangible with copies to the BatteleLDEresult of the activities undertaken inthe tasks described above

a Prolect Paoer No -1 The results of Tasks 2 3 and 4shall biedocumenceT BPPT

i3n the form of an inventory of currentprojects related to the LSDECCCT Divisionlist an annotatedof LSDE research and technology application needs asseen by other GO agencies and a list of suggested technologydevelopment transfer activities of greatest benefit toIndonesian industry b Project Paver No 2 A paper shall be prepared recomshymending priorities among the projects identified for tohe Cr-T

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Division The rationale for the selection shall alsoprovided be

c Project Paper No 3 A training planparticipation in all tasks for LSDE stafft shall be prepared forby USADIndonesia Approvalwith the advice of the BattelleLSDEproject mnamgers

staff will be Thi plan will detail how selected LSDEinvolved in all activities and trained in theskills necessary to conduct the same tasks on their own

Task 7 Advisory Services The Bechtel representative willact as a advisor to tne CCCT Division and assistManager and the Divisionstaff in their effort to develop firstoperating plan for the division This plan will the annual

guidelines supplied in the Master be based on thePlan and subsequent guidancesupplied by Battelle

activity as well and and the LSDE Director This is a trainingthe objective will toLSDE staff be help prepare theto conduct such an activity on their own The outputof this task will be a draft documentoperating plan for the CCCT

a prototype annualDivision to be used as a model forfuture revision of the plan Task 8 Assistance RegardinS Pro ects ProDosed By Othershe Bechree representative shll assistP --in- t_ m_ar zprojects proposed to it by third parties and other donors sothey become an thatintegral part of the coordinated LSDE planCdmment It is recognized that various tasks are dependent on a number of factors outside of the controlExamples of such factors of Bechtelare data availability availabilityof suitable LSDEBPPT staff logistiLcal problemsto timing and scheduling of meetings and with respectso on Bechtel willexert its best efforts to eliminatecooperation any such factors in closewith LSDE management and Battelle staffsubstantive success Theof executing each of thehow tasks will dependon well these factors can be eliminated during projectexecution

RTICLE IV - REPORTS a Five copies of all task reports and project papers shallbe provided to USAID by the Contractor

b The Contractor shall prepare a final report at the endthe program outlined above summarizing ofall activities and proshyviding recommendations This final report will be presentedin five (5) copies to USAID before the Contractor leavesIndonesia An additional ten (10) c4e- v-ill be providedBPPT

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ARTICLE V - STAFFING SCHEDULING AND LIAISON

Bechtel will make Dr D P Lijesen available to conduct anddirect the various tasks of this scope of services All serviceswill be conducted within a period equivalent to 135 working days To cooperate with Bechtel in the execution of all tasks BPPTLSDE will make available on a full time basis three BPPT staffmembers Together with Dr tLijesenstaff willhese membersoperate as a special task force to help develop detailed projectplans project priorities and the first annual operating plan forthe CCCT Division

The task force will work directly for USAIDIndonesia butclose liaison will be maintained with others In particular thetask force will receive information from other deputy areas withinBPPT The task force will function as a mechanism to start theimplementation of the LSDE Master Plan

The work effort is shown below

Work DaysField Staff Chief of Party (Dr Dirk Lijesen) 135

Home Office Technical SupportSenior Engineer

Home Office AdministrativeBusiness Support 3216

Total

ARTICLE VI - RATIONSHIPS AND RESPONSIBILITIES

The contractor shall be responsible to the Mision DirectorUSAJakarta or his designee

Cooperating Coimtry Liaisoa Officials are Dr Harsono Wiryosushymarto Deputy Chairman for Technology Development and Dr LoloPanggabean Director PUSPIPTEK Energy Research Laboratory

AID Liaison officials0 Riordan are in USAIDJakarta Mr DesmondChief USAIDDES and in AIDW SampTEY Alan B Jacobs

ARTICLE VII- TERMOF PEFOR1WCE

The desired starting date is Janaury 13 1986 and theestimated completion date is September 30 1986

ARTICLE VIII - TOTAL OBLIGATED AMOUNT AND BUDGET

a Total Obligated Amount

The total amount obligated for the performance of this orderis $121975 The contractor shall not ezceed the total amount obligated

A-4 7

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

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ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

Fplusmnnal Report

BECEtL SUPPORT ACTrIVITIES

FOR

Sutb itted to

US AID Jakarta

BPP Teknologi

July 31 1986

I INTRODUCTION AnD PURPOSE

This report discusses work undertaken by Dr DP Lijesen of Bechtel International Inc in support of the development of the Laboratorium SumberDaya Energi (LSDE) by BPP Teknologi In the remainder specific activities are summarized and observationsconclusions based on current perceptions arestated Finally a set of recommendations is formulated related to continued development of LSDE

Contractually Bechtels work for BP Teknologi is based on a technical services agreement between BPPTeknologi and Bechtel dated April 1 1986 andamendment No to US3 AIDs contract with Bechtel National Inc No LAC-5724shyC-00-5126-00 The scope of work is provided in Appendix A Work was initiated on January 13 1986 and was completed within a period of 135 working days

With respect to the scope of work presented in Appendix A it isexplicitly noted that deviations from the scope-the likelihood of which wasanticipated in advance-were necessary because of the following major reasons

o CCCT Research Institutionalization of LSDE and of the CCCY Division in particular has not taken place yet In addition no CCCT Division personnel is yet assigned aAs result the focus on CCCT Research as reflected in the scope was premature

o Existing Energy Projects Review of existing BPP Teknologi energy projects including factors germane to the overall planning and operation of the LSDE required significantly more time than originally anticipated (ie Tasks 1 2 5 and 6 of the scope) This work was documented by Bechtel in the reportSurvey of Energy Research at BPP Teknologi A Preliminary Review and Evaluation May 1986 As a result Tasks 3 and 4 of the scope have received minimal coverage

Advisory Services At the direction of AIDUS Jakarta and BPP Teknologi Dr Lijesen was requested to expand the advisoryservices reflected in Tasks 7 and 8 of the scope Upon completion of the above referenced report the entire effort was directed toward development of a project network plan for

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transforming the LSDE project from its current state to a ful1 functioning energy research laboratory at Serpong in the future This required a concentrated effort to (1) establish neede developmental activities (2) formalize structure and functions of a LSDE project development team and (3)articulate specificmilestones in terms of a proposed opening date for the laboratory initial conditions to be met by BPP Teknologi and a set of milestone achievements that could be used by US AID to judge prpgress on the overall project

Due in large part to the above reasons the nature of Bechtels services for the LSDE project can be characterized as advisory relative to a very largenumber of separate subjects and activities The main ones are highlighted in the following section

II SUMMARY OF ACTIVITIES

Activities undertaken can be broadly categorized as follows The timeframe during which these activities were undertaken is indicated

Review Draft Masterplan (January-February 1986) The draft masterplanissued in August 1985 was reviewed in detail Resulting review comments wereprovided to Dr D Anson of Battelle as input to finalizing the msterplanUnfortunately few if any were inborporated in the fnal LSDE masterplan issued by Battelle in February of 1986 Main concerns regarding the draft masterplan were as follows (1) lack of separation between the vision of LSDE as a future institute and problems associated with implementing this vision (2) too much emphasis on concepts and methodological material as contrasted to down to earth descriptions of work and projects to be undertaken by LSDE (3)lack of rationale based on real needs to be met by LSDE for the selected prioritiesand thrust of LSDE (4) omission of a discussion of and plans for the orderlydevelopment of the physical faclities at Serpong (5) omission of explicitrequirements for coordination and cooperation between LSDE and other GOI institutions in terms of personnel exchange execution of projects etc (6)lack of concern for moving from a situation in which BPPT conducts a largeenergy research program to a future situation in which energy research is conducted at BPPT and at LSDE

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Project Assessment to US AID (January 1986) An initial assessment was provided of problems hampering the smooth implementation of the LSDE projectThis included an assessment of the status quo a review of options to proceed and a set of recommendations aimed at specific modifications in project execution

Assistance to Battelle (February 1986) Due ro generally perceived inadequacies in the current project execution assistance was provided to Battelle in articulating options to modify the course of action followed This included changes in project team and changes in the Zattelle-BPPT contract Discussions were held with US AID and Battelle representatives to this effect However no immediate changes were implemented at that time

Formation BPPT Assistance Team (February 1986) With the help of Dr Ing Wardiman Djojonegoro six BPPT staff members were identified to assist in the data collection and analysis for the review of existing energy projects Training meetings were held and plans were made for this specific task This team assisted Bechtel in the development of the report mentioned below

Assistance in Establishina Steering Committee (February 1986) The need to establish a LSDE Steering Committee was considered of paramount importance to improve decision making regarding the LSDE project Discussions were held with Battelle and Dr AB Van Rennes Subsequently a charter for the committee was drafted which was submitted by Dr AB Van Rennes to Dr Haibie The latters approval led to official establishment of the now functioning Steering Committee

Review BPPT Energy Projects ( March-May 1986) A major effort was undertaken with the help of BPPT staff to analyze some sixty five on-going projects at BPPT The major objective of the report developed in this effort was to identify problems and solutions associated with the implementation of the masterplan in addition to identification of BPPT projects that should become part of LSDE Based on extensive review of the BPPT planning process and systems recommendations were provided under the following headings (1) The value to LSDE of demonstration projects (2) The need for Cooperative Research Agreements (3) The Disposition of BPPT Energy Projects- (4) The Need for Information Systems (5) Toward Improved Research Manaement (6) Continued Research Review and Evaluation and (7) A Discretionary D)evelopment Budget for LSDE A copy of title page and table of contents is provided in Appendix B

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Assistance to US AID (April 1986) A key problem in the execution of the LSDE project is the lack of understanding on the side of BPP Teknologi regarding US AIDs perspective and expectations for this particular project To facilitate removing this stumbling block a draft status report was prepared articulating US AIDs point of view The key issue addressed (following the arigirml LSDE project paper dated August 1982) was the need for quantifiable project cutputs and project milestdnes to be used as a means to judge satisfactory progress on the project and most importantly to justify appropriate expenditures of US loan funds

Presentation Steering Committee (June 1986) On June 9 a special steering commttee was held to discuss the review of BPPT energy projects and related issues The slide presentation used is included as Appendix C Specificapprovals were requested from the Steering Committee as identified in slide 17 of Appendix C By and large the steering committee was receptive to ideas presented although no explicit decisions were made A great deal of discussion centered around institutionalizing LSDE by means of a Surat Keputusan (SK) signed by Dr Habibie Disagreements and problems with US AID were noted and it was decided that BPPT should make its position clear by means of a letter to US AID signed by Dr Habibie Bechtels assistance was requested to draft this letter

Continued LSDE Proect Development (JuneJuly 1986) At the request of Mr D ORiordan of US AID and with the concurrence of Dr LM Panggabean Bechtel was asked to develop a PEMT-TYPE chart of all major activities that would have to be undertaken to establish LSDE as a fully functioning laboratory Of particular concern to US AID were the assurances required to justify the major investment in procurement of fuels and combustion equipment In particular if US AID would approve such procurement it should be crystalclear in advance that there would be (1) a routine budget to keep the equipment operating and maintained (2) provisions for spare parts workshopsand supplies to keep equipment in ready order (3) supporting general laboratories needed for fuels and combustion research (4) a well thought out and long term research plan for the equipment identifying specific projects and clients which would be served with the equipment and (5) adequately trained research maintenance and operational staff to run the equipment The effort to plan the continued development of LSDE has resulted in three major proposals 1)Opening of the laboratory on April 1 1988 (2) Establishment of a special

-4- 6

LSDE project development team and (3) A set of milestones to be achieved by the LSDE project team The latter-if and when achieved-would allow US AID to make a gono go decision on the procurement of fuels and combustion equipment (See Appendix D for details) On July 11 a meeting was held at US AID to discuss the above proposals Agreement in principle by both US AID and BPPT was obtained to continue on the identified courn nf art4nn

MaJor Procurement (JuneJuly 1986) Equipment for fuels and combustion research as proposed by Battelle was reviewed and a proposal was made to procure all equipment as one package and to maximize local content in the entire design engineering manufacturing construction and erection sequence To meaningfully structure such procurement process it was proposed to institute the function of an independent and technically qualified representative of the owner who could safequard the legitimate interests of bothUS AID and BPPT Ashycandidate for this function was introduced to both US AID and BPPT Pending contractual arrangements it is expected that this proposed procurement process will be followed

Assistance to LSDE Proect Development Team Following the above mentioned July 11 meeting Bechtels sole effort has been directed toward coaching training and organizing the various task groups of the LSDE project development team This has included numerous meetings with BPPT staff members assigned to the (1) Information Systems Development Task (2) Institutional Development Task (3)Planning Task and (4)Operations and Facilities Task (See Appendplusmnix D) Generally the objective of thesemeetings to identifywas in greater detail and with increased accuracy the tasks to be undertaken by the various groups within the set of milestone dates agreed upon in the July 11 meeting

III OBSERVATIONSCONCLUSIONS

Although the nature of Bechtels involvement allows for many relevant observations and conclusions it is felt sufficient to highlight only those that are relevant to the continued development of the project

Project Complexity The project to develop an energy research laboratory at Serpong is of enormous complexity a fact which wan nnt o4irma

enough attention by those who designed the project To understand this complexity three specific difficulties are identified (1) Conceptual difficulties (2)Difficulties associated with moving the project forward (3)Difficulties associated with the transition from energy research at BPPT to energy research at BPPT and LSDE Conceptual difficulties relate to the problem of articulating in specifics the research priorities to be persued at LSDE Thus in setting up LSDE it is extremely important to determine precisely what products (hardware and software) and-services LSDE will provide Since LSDE is intended to be application and user oriented it is inescapable that LSDE is a market driven organization Therefore it is of paramount importance that information is available to identify priority users and priority user problems Without such information it is difficult to properly set the direction for LSDE Even until today such information is not sufficiently available as it specifically relates to a detailed insight into the Indonesian needs that LSDE will have to serve

A project in which it is not entirely clear what the end point is is encumbered by arduous decision making complicated resolution of issues slow building of concensus etc because there is no clear roadmap The roadmap evolves as the project comes along To move such projectalong requires strong and decisive but flexible project management to literally steer the project along an uncertain course Decisions on deviations in direction are required frequently to achieve an acceptable endpoint Although for such projects the PERT technique can be helpful in focussing attention and effort it seldom is entirely adequate as contrasted to using PERT for managing construction of for example a complicated bridge or any other complicated but well understood logistical operation

In addition to the above difficulties the status quo existing at BPPT pro-rides an important difficulty associated with LSDE development There are numerous examles to illustrate this difficulty such as the most talented staff needed for the LSDE project -frequently is busywith other priority projects BPPT is an existing organization with existing systems which are not necessarily adequate for LSDE plans budgets and activitie3 at the future LSDE will to some degree infringe on existing responsibilities projects budget allocations etc In summary this transitional problem requires detailed insight into BPPT as an agency in order to come up with solutions that are acceptable by those currently in commnd

-6

US AID and BPPT Project Perspectives A lingering discrepancy between BPPT and US AID regarding their respective perspectives on the LSDE project has been the cause for much delay and friction Simply stated BPPT views the rapid development of technical programs and equipment as the highest priority In this view all other concerns such as institutionalizing the laboratory obtaining budgets having appropriate staff and management etc are valid concerns However they are of secondary nature Time will take care of these and one has to trust that in time satisfactory solutions for these concerns are developed In sumary BPPT is comfortable with donors providing hardware and initial program development From then on BPPT will take care of the rest US AID on the other hand and based on experience with similar projects in other countries is very concerned that all necessary conditions are met that will assure that US loan funds are utilized in the most efficient manner Thus in this view one needs to prevent at all cost that white elephants are created or that projects simply become equipment drops

Over the last couple of months significant progress has been made to bring the two perspectives closer together The possibility that US AID may not approve the procurement has been an effective katalyst in the discussion It should be noted however that there is merit in both perspectives and that BPPTs point of view is not necessarily irrelevant Ultimately the success of LSDE is based on technical accomplishments which depend on the ability of LSDE staff members to master technical problems using appropriate equipment Thus the focus on being able to work technical problems as soon as possible is quiteValid In this view one can spend far coo much time on socalled planihing and never get down to the actual technical problems US AIDs perspective is also valid in the sense that ISDE may never achieve the technical accomplishments if the necessary conditions in terms of budgets manpower etc are not satisfied Thus LSDE may have equipment but can not really use it Clearly what should happen is that US AID and BPPT arrive at a common perspective in which US AID facilitates that technical work at LSDE ill be initiated as soon as possible while BPPT becomes more conscious of potential but realistic shortcomings of unplanned development Continued discussion on this issue will be of considerable value to BPPT in particular as it relates to formulating a response to other donors interested in providing equipment for energy research LSDEs capability to absorb and effectively utilize such equipment is a key factor in formulating this response

-7shy

People The Weakest Link Plans for continued LSDE project development have been agreed to in principle This is reflected in Appendix D However it should be realized that formulation of plans is comparatively the easy part of the job These plans will have to be implemented by BPPT staff members assisted by expatriate staff Although this observation is trivial in nature it is considered key in the continued development of LSDE Making the plans does not insure successful compltion of laboratqiy development Thereal question that should be addressed is Will the staff assigned theto project be able to do the planned tasks In this regard continuous staff performance monitoring is a necessity In addition and when the need arises BPPT should be prepared to strengthen the LSDE project team by exploring utilization of staff members from deputy areas outside KKE Furthermore it is believed worthwile if US AID would provide advice to BPPT in this respect based on frequent and detailed monitoring of performance of the LSDE project team

Technical Assistance to BPPT Staff Based on close association with the ISDE project team it is concluded that BPPT staff members need technical assistance in virtually all aspects of LSDE project development as contained in Appendix D This assistance runs the entire gamut from development of information systems to planning specific technical projects to setting up operational training programs to procurement of equipment etc In this regard it is useful to continuously correlate two facts (1) the complexity of the LSDE project as discussed earlier and (2)the age and lack of experience of BPPT staff members assigned to the LSDE project Equally important to recognizing the need for broad based technical assistance is the form in which assistance is provided It is concluded unequivocally that the most useful form is day-to-day guidance in which BPPT staff is mentored In particular this requires that expatriate advisors shoulder the same tasks as the BPPT staff They become the mentors who jointly with the BPPT staff execute all activities identified in Appendix D

RECOMMENDATIONS

Because of the overriding iportance of maintaining current project momentum it is felt important to-restric recommendations to the succesful

8 shy

IV

icontinued LSDE project development That is recommendaions are related tc events that have taken place during late June and July 1986

Agreement between US AID and BPPT During the July 11 1986 meetingbetween US AID and BPPT progress was made towards reaching better understanding between BPPT and US AID regarding the project It is important that this understanding be forma3ized and that agreement on how to continue with the project be officially recorded as a milestone by itself Not only will such formalization enhance commitmnt to the project by both sides but it will help to formally establish agreed-to milestones It is believed that this will provide added impetus to both BPPT and US AID to achieve the milestones that were established

Communication with Dr Habibie Continued development of LSDE is by no means an easy task The task is complex for reasons discussed in the previous section However and in reality the task is even more complex because development of energy research requires within BPPT active cooperation between the various deputy areas An important initial step was made by the establishment of the Steering Committee In addition to this it will be required that the LSDE project team be strengthened with personnel from other deputy areas if and when the available personnel of MKE is not sufficient to undertake assigned jobs Similarly to move projects to LSDE ie those currently executed outside KE but which clearly belong within the scope of LSDE requires active cooperation thronghout BPPT The important aspect to realize is that work in the future LSDE is certainly not restricted to IME To put it in different words development of LSDE is a responsibility for the whole of BPPT It is for the above reasons that direction and advice be obtained from the chairman of BPP Teknologi It is fully expected that requestsfor such direction be well received The implication of the above is that Dr Habibie be appraised of the progress of the project on a regular basis This is particularly relevant in view of the planned official opening of the laboratory on April 1 1988 an event which should receive wide recognition It is recomended that at this point an official response toto Dr Habibies letter JS AID is most appropriate and should not be delayed Followed up by a meeting his may assure that attention on and support for the LSDE project is greatly

Lntensified

Day-to-Day Mentoring As earlier discussed plans frequently are ierely ideas In particularw-ith respect to continued development of the

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project it will be necessary that BPPT staff be mentored on a day-to-do basis Clearly this has implications in terms of expatriate manpowe requirements and effort devoted to the project The implications of doing thi should be analyzed as soon as possible and where necessary contracts t obtain such intensive support should be formulated and signed as soon a possible The current project momentum will be severely affected if thes matters are not quickly taken care of A delay of even one month will directli impact the achievement of milestones discussed in Appendix D

Projiect Management In a complicated project such as the development o LSDE and with a fair number of expatriate advisors project management is a ke issue Strong and decisive leadership in such situation is a must It is il this role that BPPT will need a great deal of assistance from expatriatt advisors However this assistance should exceed the more traditional advisor3 consultants role In fact it is recommended that the management advisor taket explicit responsibility to help BPPT achieve the agreed upon milestones ane that work performance by the consultant be related to these particulaz achievements It is recommended that US AID assists BPPT in achieving a satisfactory relationship with its management advisor recognizing that tc achieve this may require drastic changes to the status quo

LSDE Priorities Lack of a well defined set of technical priorities for LSDE is considered to be a high priority problem in and by itself Although the masterplan establishes priorities their rationale is still weak In particular if BPPT would have to communicate its LSDE plans and priorities to prospective users andor donors it is felt that a well developed starting point for the discussion is still missing The link between ISDE projects and priorities and actual (present and future) needs in Indonesia has only been established in concept Establishing this link in specifics will requireonsiderable time However efforts to do so should start as soon as possible It is for this reason that one of the project milestones to be met in JulyAugust 1986 1s the effort to scope an industrial energy- use stiddy This

nths study should be focussed specifically on establishing priority user ndustries as well as other users and on specific energy problem areas or Lreas of opportunity in which LSDE could play a specific role Although the iroblem of setting research priorities for LSDE has been discussed many times t should be recognized that this problem does not disappear by itself It will equire some concentrated initial effort to become more knowledgeable regarding lossible solutions

- U - (7

3

Project Work Focus The development of LSDE so far can be characterized by a relatively high degree of conceptual thinking This is quite natural for this type of project However it is recomnended that from now on the work focus shifts to more specific issues In particular all efforts should be directed to assure the opening of the laboratory on April 1 1988 in a manner fully satisfactory to BPPT and US AID Overall the objective of the assistance effort supported by US AID should be to maintain current project momentum and to assure that EIPT is in the best possible take-off position to continue on its own once the loan period ends ie August 31 1989 In this regard and in full conformance with the project plan sumarized in Appendix D specific emphasis should be placed on strengthening the three weakest areas

o Ability to plan and set laboratory directioand priorities o Availability of trained staff o Abi lty to execute specific technical projects in a technically and

scientifically acceptable manner

US AID Support Finally and as the saying goes one sunny day does not make sumner continued and strong US AID support is a must for the project At present a considerable group of BPPT staff members is actively working on the project and expectations of success and work spirits are highHowever it should also be realized that the meeting on July 11 may not have resolved all problems between US AID and BPMT It is recommended that if there are remaining lingering doubts on the side of US AID they be resolved as soon as possible With every day passing project momentum is increasing and therefore any drastic change in commitment or direction would have increasingly more serious implications

3D-11-

APPENDIX A

sCOPE OF WORK

OF

BECHTEL sUPPORT SERVICES

FOR

DEVELomENTO LSDE

TECHrICAL SERVICES CRDE NO 4

SCHEDULE

ARTICLE I - TITLE

Puspiptek Energy Reserach Laboratory -Tecbnical -ssistance to LSDE

-ARTICLE 11 - OBJECTIVE

Bechtel services in support or LDamp are directed to cooperatewith Battelle in achieving the following

- Incorporation of projects related to charter mission andgoals of the CCCT Division and currently ongoing throughoutBPPT into LSDE

Identification and formulation of CCCT research projectsmost appropriate to LSDE in view of its mission and goals

Prioritization of CCCT Research projects

Close liaison between LSDE and other Indonesian energyrelated agencies to assure that research work within the CCCT Division satisfies real needs

Close liaison between LSDE and Indonesian industry to assurethat research work within the CCCT Division is applicable to and useful to Indonesian industry

-Acceleration of developing LSDE staff capability to preparethe annual operating plan for the CCCT Division

ARTICLE III - STATEMENT OF WORK

To assist in achieving the above objectives Bechtel shallundertake the following tasks Execution of these tasks will bezoordinated with the Battelle Project Manager in accordance with the guidance provided by the Master Plan

Task 1 Review LSDE Master Plan Contractor shall review theiSDEmaster plan in detail to determine basic direction of lahorashytory development in terms of mission goals organization etcSuggestions will be provided on the implementation of the Master Plan

Task 2 Analysis BPPT Projects Contractor shall make ananalysis and inventory of all current BPPT projects which intheir definition are closely related to the charter of theLSDECCCT Division An assessment of their usefulness to LSDEshall be made Where warranted specific recommendations shallbe made to Battelle and LSDE management on how to incorporate

~

3

these projects within the programr of workSpecific emphasis will be plIaced 7on for the CCCT Division

accelerating LSDEsof development by building upon results and process

accomplishments olcurrent projects Task 3 Review GOI Agency Work related to the CCCT DivisionContractor snall hold interviews and discussions with variousagencies in order G0Ito identify specific needsIncluded in the agencies

that LSDE can serve are the of andMinis try MinesPR Tambang Batubara Energy

Mineral PT Bukit Asam PLN Laboratory forDevelopment LIPI variousand universities Thesediscussions will also identify how these institutionsstaffs can contribute to research to

and theirbe undertaken within theLSDECCCT Division

Task 4 Industrial Use of CCCT Research Critical to LSDE isthe line between its research and =e use ofindustry this -research inA preliminary screening shall -be made as to the typeof existing companies in Indonesia that can benefit from the workdone in the CCCT Division as -well as the type of new companiesthat can be envisioned based on CCCT research In bothemphasis shall be casesplaced on a realistic assessmentlinkages of the type ofthat the CCCT Division should start pursuing immediately Task 5 Project Formulation and Prioritization Bechtel willwork with te Battelle team and shall develop recommendedcations to modifishyexisting projects and suggestions for new projects allbased on the results of Tasks 2 through 4 The important resultis not to achieve detail for each project but to arrive at clearlyunderstood definitions of

considering what these proj ects should achievethe LSDE mission LSDEs relationship to the work ofother GOI agencies and its relationship to Indonesian industry

Priorities will be recbmmended based on the criteria estabshylished in Masterthe Plan and those subsequenuly developed by theBattelleLSDE project team Task 6 Proiect PaDers The following project papers shallbe provided to USATD Lndonesia

nanagement as a tangible with copies to the BatteleLDEresult of the activities undertaken inthe tasks described above

a Prolect Paoer No -1 The results of Tasks 2 3 and 4shall biedocumenceT BPPT

i3n the form of an inventory of currentprojects related to the LSDECCCT Divisionlist an annotatedof LSDE research and technology application needs asseen by other GO agencies and a list of suggested technologydevelopment transfer activities of greatest benefit toIndonesian industry b Project Paver No 2 A paper shall be prepared recomshymending priorities among the projects identified for tohe Cr-T

A-24

Division The rationale for the selection shall alsoprovided be

c Project Paper No 3 A training planparticipation in all tasks for LSDE stafft shall be prepared forby USADIndonesia Approvalwith the advice of the BattelleLSDEproject mnamgers

staff will be Thi plan will detail how selected LSDEinvolved in all activities and trained in theskills necessary to conduct the same tasks on their own

Task 7 Advisory Services The Bechtel representative willact as a advisor to tne CCCT Division and assistManager and the Divisionstaff in their effort to develop firstoperating plan for the division This plan will the annual

guidelines supplied in the Master be based on thePlan and subsequent guidancesupplied by Battelle

activity as well and and the LSDE Director This is a trainingthe objective will toLSDE staff be help prepare theto conduct such an activity on their own The outputof this task will be a draft documentoperating plan for the CCCT

a prototype annualDivision to be used as a model forfuture revision of the plan Task 8 Assistance RegardinS Pro ects ProDosed By Othershe Bechree representative shll assistP --in- t_ m_ar zprojects proposed to it by third parties and other donors sothey become an thatintegral part of the coordinated LSDE planCdmment It is recognized that various tasks are dependent on a number of factors outside of the controlExamples of such factors of Bechtelare data availability availabilityof suitable LSDEBPPT staff logistiLcal problemsto timing and scheduling of meetings and with respectso on Bechtel willexert its best efforts to eliminatecooperation any such factors in closewith LSDE management and Battelle staffsubstantive success Theof executing each of thehow tasks will dependon well these factors can be eliminated during projectexecution

RTICLE IV - REPORTS a Five copies of all task reports and project papers shallbe provided to USAID by the Contractor

b The Contractor shall prepare a final report at the endthe program outlined above summarizing ofall activities and proshyviding recommendations This final report will be presentedin five (5) copies to USAID before the Contractor leavesIndonesia An additional ten (10) c4e- v-ill be providedBPPT

A-3

-5-

ARTICLE V - STAFFING SCHEDULING AND LIAISON

Bechtel will make Dr D P Lijesen available to conduct anddirect the various tasks of this scope of services All serviceswill be conducted within a period equivalent to 135 working days To cooperate with Bechtel in the execution of all tasks BPPTLSDE will make available on a full time basis three BPPT staffmembers Together with Dr tLijesenstaff willhese membersoperate as a special task force to help develop detailed projectplans project priorities and the first annual operating plan forthe CCCT Division

The task force will work directly for USAIDIndonesia butclose liaison will be maintained with others In particular thetask force will receive information from other deputy areas withinBPPT The task force will function as a mechanism to start theimplementation of the LSDE Master Plan

The work effort is shown below

Work DaysField Staff Chief of Party (Dr Dirk Lijesen) 135

Home Office Technical SupportSenior Engineer

Home Office AdministrativeBusiness Support 3216

Total

ARTICLE VI - RATIONSHIPS AND RESPONSIBILITIES

The contractor shall be responsible to the Mision DirectorUSAJakarta or his designee

Cooperating Coimtry Liaisoa Officials are Dr Harsono Wiryosushymarto Deputy Chairman for Technology Development and Dr LoloPanggabean Director PUSPIPTEK Energy Research Laboratory

AID Liaison officials0 Riordan are in USAIDJakarta Mr DesmondChief USAIDDES and in AIDW SampTEY Alan B Jacobs

ARTICLE VII- TERMOF PEFOR1WCE

The desired starting date is Janaury 13 1986 and theestimated completion date is September 30 1986

ARTICLE VIII - TOTAL OBLIGATED AMOUNT AND BUDGET

a Total Obligated Amount

The total amount obligated for the performance of this orderis $121975 The contractor shall not ezceed the total amount obligated

A-4 7

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

A-5 (6

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

I INTRODUCTION AnD PURPOSE

This report discusses work undertaken by Dr DP Lijesen of Bechtel International Inc in support of the development of the Laboratorium SumberDaya Energi (LSDE) by BPP Teknologi In the remainder specific activities are summarized and observationsconclusions based on current perceptions arestated Finally a set of recommendations is formulated related to continued development of LSDE

Contractually Bechtels work for BP Teknologi is based on a technical services agreement between BPPTeknologi and Bechtel dated April 1 1986 andamendment No to US3 AIDs contract with Bechtel National Inc No LAC-5724shyC-00-5126-00 The scope of work is provided in Appendix A Work was initiated on January 13 1986 and was completed within a period of 135 working days

With respect to the scope of work presented in Appendix A it isexplicitly noted that deviations from the scope-the likelihood of which wasanticipated in advance-were necessary because of the following major reasons

o CCCT Research Institutionalization of LSDE and of the CCCY Division in particular has not taken place yet In addition no CCCT Division personnel is yet assigned aAs result the focus on CCCT Research as reflected in the scope was premature

o Existing Energy Projects Review of existing BPP Teknologi energy projects including factors germane to the overall planning and operation of the LSDE required significantly more time than originally anticipated (ie Tasks 1 2 5 and 6 of the scope) This work was documented by Bechtel in the reportSurvey of Energy Research at BPP Teknologi A Preliminary Review and Evaluation May 1986 As a result Tasks 3 and 4 of the scope have received minimal coverage

Advisory Services At the direction of AIDUS Jakarta and BPP Teknologi Dr Lijesen was requested to expand the advisoryservices reflected in Tasks 7 and 8 of the scope Upon completion of the above referenced report the entire effort was directed toward development of a project network plan for

-1shy

transforming the LSDE project from its current state to a ful1 functioning energy research laboratory at Serpong in the future This required a concentrated effort to (1) establish neede developmental activities (2) formalize structure and functions of a LSDE project development team and (3)articulate specificmilestones in terms of a proposed opening date for the laboratory initial conditions to be met by BPP Teknologi and a set of milestone achievements that could be used by US AID to judge prpgress on the overall project

Due in large part to the above reasons the nature of Bechtels services for the LSDE project can be characterized as advisory relative to a very largenumber of separate subjects and activities The main ones are highlighted in the following section

II SUMMARY OF ACTIVITIES

Activities undertaken can be broadly categorized as follows The timeframe during which these activities were undertaken is indicated

Review Draft Masterplan (January-February 1986) The draft masterplanissued in August 1985 was reviewed in detail Resulting review comments wereprovided to Dr D Anson of Battelle as input to finalizing the msterplanUnfortunately few if any were inborporated in the fnal LSDE masterplan issued by Battelle in February of 1986 Main concerns regarding the draft masterplan were as follows (1) lack of separation between the vision of LSDE as a future institute and problems associated with implementing this vision (2) too much emphasis on concepts and methodological material as contrasted to down to earth descriptions of work and projects to be undertaken by LSDE (3)lack of rationale based on real needs to be met by LSDE for the selected prioritiesand thrust of LSDE (4) omission of a discussion of and plans for the orderlydevelopment of the physical faclities at Serpong (5) omission of explicitrequirements for coordination and cooperation between LSDE and other GOI institutions in terms of personnel exchange execution of projects etc (6)lack of concern for moving from a situation in which BPPT conducts a largeenergy research program to a future situation in which energy research is conducted at BPPT and at LSDE

-2 shy

Project Assessment to US AID (January 1986) An initial assessment was provided of problems hampering the smooth implementation of the LSDE projectThis included an assessment of the status quo a review of options to proceed and a set of recommendations aimed at specific modifications in project execution

Assistance to Battelle (February 1986) Due ro generally perceived inadequacies in the current project execution assistance was provided to Battelle in articulating options to modify the course of action followed This included changes in project team and changes in the Zattelle-BPPT contract Discussions were held with US AID and Battelle representatives to this effect However no immediate changes were implemented at that time

Formation BPPT Assistance Team (February 1986) With the help of Dr Ing Wardiman Djojonegoro six BPPT staff members were identified to assist in the data collection and analysis for the review of existing energy projects Training meetings were held and plans were made for this specific task This team assisted Bechtel in the development of the report mentioned below

Assistance in Establishina Steering Committee (February 1986) The need to establish a LSDE Steering Committee was considered of paramount importance to improve decision making regarding the LSDE project Discussions were held with Battelle and Dr AB Van Rennes Subsequently a charter for the committee was drafted which was submitted by Dr AB Van Rennes to Dr Haibie The latters approval led to official establishment of the now functioning Steering Committee

Review BPPT Energy Projects ( March-May 1986) A major effort was undertaken with the help of BPPT staff to analyze some sixty five on-going projects at BPPT The major objective of the report developed in this effort was to identify problems and solutions associated with the implementation of the masterplan in addition to identification of BPPT projects that should become part of LSDE Based on extensive review of the BPPT planning process and systems recommendations were provided under the following headings (1) The value to LSDE of demonstration projects (2) The need for Cooperative Research Agreements (3) The Disposition of BPPT Energy Projects- (4) The Need for Information Systems (5) Toward Improved Research Manaement (6) Continued Research Review and Evaluation and (7) A Discretionary D)evelopment Budget for LSDE A copy of title page and table of contents is provided in Appendix B

-3shy

Assistance to US AID (April 1986) A key problem in the execution of the LSDE project is the lack of understanding on the side of BPP Teknologi regarding US AIDs perspective and expectations for this particular project To facilitate removing this stumbling block a draft status report was prepared articulating US AIDs point of view The key issue addressed (following the arigirml LSDE project paper dated August 1982) was the need for quantifiable project cutputs and project milestdnes to be used as a means to judge satisfactory progress on the project and most importantly to justify appropriate expenditures of US loan funds

Presentation Steering Committee (June 1986) On June 9 a special steering commttee was held to discuss the review of BPPT energy projects and related issues The slide presentation used is included as Appendix C Specificapprovals were requested from the Steering Committee as identified in slide 17 of Appendix C By and large the steering committee was receptive to ideas presented although no explicit decisions were made A great deal of discussion centered around institutionalizing LSDE by means of a Surat Keputusan (SK) signed by Dr Habibie Disagreements and problems with US AID were noted and it was decided that BPPT should make its position clear by means of a letter to US AID signed by Dr Habibie Bechtels assistance was requested to draft this letter

Continued LSDE Proect Development (JuneJuly 1986) At the request of Mr D ORiordan of US AID and with the concurrence of Dr LM Panggabean Bechtel was asked to develop a PEMT-TYPE chart of all major activities that would have to be undertaken to establish LSDE as a fully functioning laboratory Of particular concern to US AID were the assurances required to justify the major investment in procurement of fuels and combustion equipment In particular if US AID would approve such procurement it should be crystalclear in advance that there would be (1) a routine budget to keep the equipment operating and maintained (2) provisions for spare parts workshopsand supplies to keep equipment in ready order (3) supporting general laboratories needed for fuels and combustion research (4) a well thought out and long term research plan for the equipment identifying specific projects and clients which would be served with the equipment and (5) adequately trained research maintenance and operational staff to run the equipment The effort to plan the continued development of LSDE has resulted in three major proposals 1)Opening of the laboratory on April 1 1988 (2) Establishment of a special

-4- 6

LSDE project development team and (3) A set of milestones to be achieved by the LSDE project team The latter-if and when achieved-would allow US AID to make a gono go decision on the procurement of fuels and combustion equipment (See Appendix D for details) On July 11 a meeting was held at US AID to discuss the above proposals Agreement in principle by both US AID and BPPT was obtained to continue on the identified courn nf art4nn

MaJor Procurement (JuneJuly 1986) Equipment for fuels and combustion research as proposed by Battelle was reviewed and a proposal was made to procure all equipment as one package and to maximize local content in the entire design engineering manufacturing construction and erection sequence To meaningfully structure such procurement process it was proposed to institute the function of an independent and technically qualified representative of the owner who could safequard the legitimate interests of bothUS AID and BPPT Ashycandidate for this function was introduced to both US AID and BPPT Pending contractual arrangements it is expected that this proposed procurement process will be followed

Assistance to LSDE Proect Development Team Following the above mentioned July 11 meeting Bechtels sole effort has been directed toward coaching training and organizing the various task groups of the LSDE project development team This has included numerous meetings with BPPT staff members assigned to the (1) Information Systems Development Task (2) Institutional Development Task (3)Planning Task and (4)Operations and Facilities Task (See Appendplusmnix D) Generally the objective of thesemeetings to identifywas in greater detail and with increased accuracy the tasks to be undertaken by the various groups within the set of milestone dates agreed upon in the July 11 meeting

III OBSERVATIONSCONCLUSIONS

Although the nature of Bechtels involvement allows for many relevant observations and conclusions it is felt sufficient to highlight only those that are relevant to the continued development of the project

Project Complexity The project to develop an energy research laboratory at Serpong is of enormous complexity a fact which wan nnt o4irma

enough attention by those who designed the project To understand this complexity three specific difficulties are identified (1) Conceptual difficulties (2)Difficulties associated with moving the project forward (3)Difficulties associated with the transition from energy research at BPPT to energy research at BPPT and LSDE Conceptual difficulties relate to the problem of articulating in specifics the research priorities to be persued at LSDE Thus in setting up LSDE it is extremely important to determine precisely what products (hardware and software) and-services LSDE will provide Since LSDE is intended to be application and user oriented it is inescapable that LSDE is a market driven organization Therefore it is of paramount importance that information is available to identify priority users and priority user problems Without such information it is difficult to properly set the direction for LSDE Even until today such information is not sufficiently available as it specifically relates to a detailed insight into the Indonesian needs that LSDE will have to serve

A project in which it is not entirely clear what the end point is is encumbered by arduous decision making complicated resolution of issues slow building of concensus etc because there is no clear roadmap The roadmap evolves as the project comes along To move such projectalong requires strong and decisive but flexible project management to literally steer the project along an uncertain course Decisions on deviations in direction are required frequently to achieve an acceptable endpoint Although for such projects the PERT technique can be helpful in focussing attention and effort it seldom is entirely adequate as contrasted to using PERT for managing construction of for example a complicated bridge or any other complicated but well understood logistical operation

In addition to the above difficulties the status quo existing at BPPT pro-rides an important difficulty associated with LSDE development There are numerous examles to illustrate this difficulty such as the most talented staff needed for the LSDE project -frequently is busywith other priority projects BPPT is an existing organization with existing systems which are not necessarily adequate for LSDE plans budgets and activitie3 at the future LSDE will to some degree infringe on existing responsibilities projects budget allocations etc In summary this transitional problem requires detailed insight into BPPT as an agency in order to come up with solutions that are acceptable by those currently in commnd

-6

US AID and BPPT Project Perspectives A lingering discrepancy between BPPT and US AID regarding their respective perspectives on the LSDE project has been the cause for much delay and friction Simply stated BPPT views the rapid development of technical programs and equipment as the highest priority In this view all other concerns such as institutionalizing the laboratory obtaining budgets having appropriate staff and management etc are valid concerns However they are of secondary nature Time will take care of these and one has to trust that in time satisfactory solutions for these concerns are developed In sumary BPPT is comfortable with donors providing hardware and initial program development From then on BPPT will take care of the rest US AID on the other hand and based on experience with similar projects in other countries is very concerned that all necessary conditions are met that will assure that US loan funds are utilized in the most efficient manner Thus in this view one needs to prevent at all cost that white elephants are created or that projects simply become equipment drops

Over the last couple of months significant progress has been made to bring the two perspectives closer together The possibility that US AID may not approve the procurement has been an effective katalyst in the discussion It should be noted however that there is merit in both perspectives and that BPPTs point of view is not necessarily irrelevant Ultimately the success of LSDE is based on technical accomplishments which depend on the ability of LSDE staff members to master technical problems using appropriate equipment Thus the focus on being able to work technical problems as soon as possible is quiteValid In this view one can spend far coo much time on socalled planihing and never get down to the actual technical problems US AIDs perspective is also valid in the sense that ISDE may never achieve the technical accomplishments if the necessary conditions in terms of budgets manpower etc are not satisfied Thus LSDE may have equipment but can not really use it Clearly what should happen is that US AID and BPPT arrive at a common perspective in which US AID facilitates that technical work at LSDE ill be initiated as soon as possible while BPPT becomes more conscious of potential but realistic shortcomings of unplanned development Continued discussion on this issue will be of considerable value to BPPT in particular as it relates to formulating a response to other donors interested in providing equipment for energy research LSDEs capability to absorb and effectively utilize such equipment is a key factor in formulating this response

-7shy

People The Weakest Link Plans for continued LSDE project development have been agreed to in principle This is reflected in Appendix D However it should be realized that formulation of plans is comparatively the easy part of the job These plans will have to be implemented by BPPT staff members assisted by expatriate staff Although this observation is trivial in nature it is considered key in the continued development of LSDE Making the plans does not insure successful compltion of laboratqiy development Thereal question that should be addressed is Will the staff assigned theto project be able to do the planned tasks In this regard continuous staff performance monitoring is a necessity In addition and when the need arises BPPT should be prepared to strengthen the LSDE project team by exploring utilization of staff members from deputy areas outside KKE Furthermore it is believed worthwile if US AID would provide advice to BPPT in this respect based on frequent and detailed monitoring of performance of the LSDE project team

Technical Assistance to BPPT Staff Based on close association with the ISDE project team it is concluded that BPPT staff members need technical assistance in virtually all aspects of LSDE project development as contained in Appendix D This assistance runs the entire gamut from development of information systems to planning specific technical projects to setting up operational training programs to procurement of equipment etc In this regard it is useful to continuously correlate two facts (1) the complexity of the LSDE project as discussed earlier and (2)the age and lack of experience of BPPT staff members assigned to the LSDE project Equally important to recognizing the need for broad based technical assistance is the form in which assistance is provided It is concluded unequivocally that the most useful form is day-to-day guidance in which BPPT staff is mentored In particular this requires that expatriate advisors shoulder the same tasks as the BPPT staff They become the mentors who jointly with the BPPT staff execute all activities identified in Appendix D

RECOMMENDATIONS

Because of the overriding iportance of maintaining current project momentum it is felt important to-restric recommendations to the succesful

8 shy

IV

icontinued LSDE project development That is recommendaions are related tc events that have taken place during late June and July 1986

Agreement between US AID and BPPT During the July 11 1986 meetingbetween US AID and BPPT progress was made towards reaching better understanding between BPPT and US AID regarding the project It is important that this understanding be forma3ized and that agreement on how to continue with the project be officially recorded as a milestone by itself Not only will such formalization enhance commitmnt to the project by both sides but it will help to formally establish agreed-to milestones It is believed that this will provide added impetus to both BPPT and US AID to achieve the milestones that were established

Communication with Dr Habibie Continued development of LSDE is by no means an easy task The task is complex for reasons discussed in the previous section However and in reality the task is even more complex because development of energy research requires within BPPT active cooperation between the various deputy areas An important initial step was made by the establishment of the Steering Committee In addition to this it will be required that the LSDE project team be strengthened with personnel from other deputy areas if and when the available personnel of MKE is not sufficient to undertake assigned jobs Similarly to move projects to LSDE ie those currently executed outside KE but which clearly belong within the scope of LSDE requires active cooperation thronghout BPPT The important aspect to realize is that work in the future LSDE is certainly not restricted to IME To put it in different words development of LSDE is a responsibility for the whole of BPPT It is for the above reasons that direction and advice be obtained from the chairman of BPP Teknologi It is fully expected that requestsfor such direction be well received The implication of the above is that Dr Habibie be appraised of the progress of the project on a regular basis This is particularly relevant in view of the planned official opening of the laboratory on April 1 1988 an event which should receive wide recognition It is recomended that at this point an official response toto Dr Habibies letter JS AID is most appropriate and should not be delayed Followed up by a meeting his may assure that attention on and support for the LSDE project is greatly

Lntensified

Day-to-Day Mentoring As earlier discussed plans frequently are ierely ideas In particularw-ith respect to continued development of the

-9 shy

project it will be necessary that BPPT staff be mentored on a day-to-do basis Clearly this has implications in terms of expatriate manpowe requirements and effort devoted to the project The implications of doing thi should be analyzed as soon as possible and where necessary contracts t obtain such intensive support should be formulated and signed as soon a possible The current project momentum will be severely affected if thes matters are not quickly taken care of A delay of even one month will directli impact the achievement of milestones discussed in Appendix D

Projiect Management In a complicated project such as the development o LSDE and with a fair number of expatriate advisors project management is a ke issue Strong and decisive leadership in such situation is a must It is il this role that BPPT will need a great deal of assistance from expatriatt advisors However this assistance should exceed the more traditional advisor3 consultants role In fact it is recommended that the management advisor taket explicit responsibility to help BPPT achieve the agreed upon milestones ane that work performance by the consultant be related to these particulaz achievements It is recommended that US AID assists BPPT in achieving a satisfactory relationship with its management advisor recognizing that tc achieve this may require drastic changes to the status quo

LSDE Priorities Lack of a well defined set of technical priorities for LSDE is considered to be a high priority problem in and by itself Although the masterplan establishes priorities their rationale is still weak In particular if BPPT would have to communicate its LSDE plans and priorities to prospective users andor donors it is felt that a well developed starting point for the discussion is still missing The link between ISDE projects and priorities and actual (present and future) needs in Indonesia has only been established in concept Establishing this link in specifics will requireonsiderable time However efforts to do so should start as soon as possible It is for this reason that one of the project milestones to be met in JulyAugust 1986 1s the effort to scope an industrial energy- use stiddy This

nths study should be focussed specifically on establishing priority user ndustries as well as other users and on specific energy problem areas or Lreas of opportunity in which LSDE could play a specific role Although the iroblem of setting research priorities for LSDE has been discussed many times t should be recognized that this problem does not disappear by itself It will equire some concentrated initial effort to become more knowledgeable regarding lossible solutions

- U - (7

3

Project Work Focus The development of LSDE so far can be characterized by a relatively high degree of conceptual thinking This is quite natural for this type of project However it is recomnended that from now on the work focus shifts to more specific issues In particular all efforts should be directed to assure the opening of the laboratory on April 1 1988 in a manner fully satisfactory to BPPT and US AID Overall the objective of the assistance effort supported by US AID should be to maintain current project momentum and to assure that EIPT is in the best possible take-off position to continue on its own once the loan period ends ie August 31 1989 In this regard and in full conformance with the project plan sumarized in Appendix D specific emphasis should be placed on strengthening the three weakest areas

o Ability to plan and set laboratory directioand priorities o Availability of trained staff o Abi lty to execute specific technical projects in a technically and

scientifically acceptable manner

US AID Support Finally and as the saying goes one sunny day does not make sumner continued and strong US AID support is a must for the project At present a considerable group of BPPT staff members is actively working on the project and expectations of success and work spirits are highHowever it should also be realized that the meeting on July 11 may not have resolved all problems between US AID and BPMT It is recommended that if there are remaining lingering doubts on the side of US AID they be resolved as soon as possible With every day passing project momentum is increasing and therefore any drastic change in commitment or direction would have increasingly more serious implications

3D-11-

APPENDIX A

sCOPE OF WORK

OF

BECHTEL sUPPORT SERVICES

FOR

DEVELomENTO LSDE

TECHrICAL SERVICES CRDE NO 4

SCHEDULE

ARTICLE I - TITLE

Puspiptek Energy Reserach Laboratory -Tecbnical -ssistance to LSDE

-ARTICLE 11 - OBJECTIVE

Bechtel services in support or LDamp are directed to cooperatewith Battelle in achieving the following

- Incorporation of projects related to charter mission andgoals of the CCCT Division and currently ongoing throughoutBPPT into LSDE

Identification and formulation of CCCT research projectsmost appropriate to LSDE in view of its mission and goals

Prioritization of CCCT Research projects

Close liaison between LSDE and other Indonesian energyrelated agencies to assure that research work within the CCCT Division satisfies real needs

Close liaison between LSDE and Indonesian industry to assurethat research work within the CCCT Division is applicable to and useful to Indonesian industry

-Acceleration of developing LSDE staff capability to preparethe annual operating plan for the CCCT Division

ARTICLE III - STATEMENT OF WORK

To assist in achieving the above objectives Bechtel shallundertake the following tasks Execution of these tasks will bezoordinated with the Battelle Project Manager in accordance with the guidance provided by the Master Plan

Task 1 Review LSDE Master Plan Contractor shall review theiSDEmaster plan in detail to determine basic direction of lahorashytory development in terms of mission goals organization etcSuggestions will be provided on the implementation of the Master Plan

Task 2 Analysis BPPT Projects Contractor shall make ananalysis and inventory of all current BPPT projects which intheir definition are closely related to the charter of theLSDECCCT Division An assessment of their usefulness to LSDEshall be made Where warranted specific recommendations shallbe made to Battelle and LSDE management on how to incorporate

~

3

these projects within the programr of workSpecific emphasis will be plIaced 7on for the CCCT Division

accelerating LSDEsof development by building upon results and process

accomplishments olcurrent projects Task 3 Review GOI Agency Work related to the CCCT DivisionContractor snall hold interviews and discussions with variousagencies in order G0Ito identify specific needsIncluded in the agencies

that LSDE can serve are the of andMinis try MinesPR Tambang Batubara Energy

Mineral PT Bukit Asam PLN Laboratory forDevelopment LIPI variousand universities Thesediscussions will also identify how these institutionsstaffs can contribute to research to

and theirbe undertaken within theLSDECCCT Division

Task 4 Industrial Use of CCCT Research Critical to LSDE isthe line between its research and =e use ofindustry this -research inA preliminary screening shall -be made as to the typeof existing companies in Indonesia that can benefit from the workdone in the CCCT Division as -well as the type of new companiesthat can be envisioned based on CCCT research In bothemphasis shall be casesplaced on a realistic assessmentlinkages of the type ofthat the CCCT Division should start pursuing immediately Task 5 Project Formulation and Prioritization Bechtel willwork with te Battelle team and shall develop recommendedcations to modifishyexisting projects and suggestions for new projects allbased on the results of Tasks 2 through 4 The important resultis not to achieve detail for each project but to arrive at clearlyunderstood definitions of

considering what these proj ects should achievethe LSDE mission LSDEs relationship to the work ofother GOI agencies and its relationship to Indonesian industry

Priorities will be recbmmended based on the criteria estabshylished in Masterthe Plan and those subsequenuly developed by theBattelleLSDE project team Task 6 Proiect PaDers The following project papers shallbe provided to USATD Lndonesia

nanagement as a tangible with copies to the BatteleLDEresult of the activities undertaken inthe tasks described above

a Prolect Paoer No -1 The results of Tasks 2 3 and 4shall biedocumenceT BPPT

i3n the form of an inventory of currentprojects related to the LSDECCCT Divisionlist an annotatedof LSDE research and technology application needs asseen by other GO agencies and a list of suggested technologydevelopment transfer activities of greatest benefit toIndonesian industry b Project Paver No 2 A paper shall be prepared recomshymending priorities among the projects identified for tohe Cr-T

A-24

Division The rationale for the selection shall alsoprovided be

c Project Paper No 3 A training planparticipation in all tasks for LSDE stafft shall be prepared forby USADIndonesia Approvalwith the advice of the BattelleLSDEproject mnamgers

staff will be Thi plan will detail how selected LSDEinvolved in all activities and trained in theskills necessary to conduct the same tasks on their own

Task 7 Advisory Services The Bechtel representative willact as a advisor to tne CCCT Division and assistManager and the Divisionstaff in their effort to develop firstoperating plan for the division This plan will the annual

guidelines supplied in the Master be based on thePlan and subsequent guidancesupplied by Battelle

activity as well and and the LSDE Director This is a trainingthe objective will toLSDE staff be help prepare theto conduct such an activity on their own The outputof this task will be a draft documentoperating plan for the CCCT

a prototype annualDivision to be used as a model forfuture revision of the plan Task 8 Assistance RegardinS Pro ects ProDosed By Othershe Bechree representative shll assistP --in- t_ m_ar zprojects proposed to it by third parties and other donors sothey become an thatintegral part of the coordinated LSDE planCdmment It is recognized that various tasks are dependent on a number of factors outside of the controlExamples of such factors of Bechtelare data availability availabilityof suitable LSDEBPPT staff logistiLcal problemsto timing and scheduling of meetings and with respectso on Bechtel willexert its best efforts to eliminatecooperation any such factors in closewith LSDE management and Battelle staffsubstantive success Theof executing each of thehow tasks will dependon well these factors can be eliminated during projectexecution

RTICLE IV - REPORTS a Five copies of all task reports and project papers shallbe provided to USAID by the Contractor

b The Contractor shall prepare a final report at the endthe program outlined above summarizing ofall activities and proshyviding recommendations This final report will be presentedin five (5) copies to USAID before the Contractor leavesIndonesia An additional ten (10) c4e- v-ill be providedBPPT

A-3

-5-

ARTICLE V - STAFFING SCHEDULING AND LIAISON

Bechtel will make Dr D P Lijesen available to conduct anddirect the various tasks of this scope of services All serviceswill be conducted within a period equivalent to 135 working days To cooperate with Bechtel in the execution of all tasks BPPTLSDE will make available on a full time basis three BPPT staffmembers Together with Dr tLijesenstaff willhese membersoperate as a special task force to help develop detailed projectplans project priorities and the first annual operating plan forthe CCCT Division

The task force will work directly for USAIDIndonesia butclose liaison will be maintained with others In particular thetask force will receive information from other deputy areas withinBPPT The task force will function as a mechanism to start theimplementation of the LSDE Master Plan

The work effort is shown below

Work DaysField Staff Chief of Party (Dr Dirk Lijesen) 135

Home Office Technical SupportSenior Engineer

Home Office AdministrativeBusiness Support 3216

Total

ARTICLE VI - RATIONSHIPS AND RESPONSIBILITIES

The contractor shall be responsible to the Mision DirectorUSAJakarta or his designee

Cooperating Coimtry Liaisoa Officials are Dr Harsono Wiryosushymarto Deputy Chairman for Technology Development and Dr LoloPanggabean Director PUSPIPTEK Energy Research Laboratory

AID Liaison officials0 Riordan are in USAIDJakarta Mr DesmondChief USAIDDES and in AIDW SampTEY Alan B Jacobs

ARTICLE VII- TERMOF PEFOR1WCE

The desired starting date is Janaury 13 1986 and theestimated completion date is September 30 1986

ARTICLE VIII - TOTAL OBLIGATED AMOUNT AND BUDGET

a Total Obligated Amount

The total amount obligated for the performance of this orderis $121975 The contractor shall not ezceed the total amount obligated

A-4 7

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

A-5 (6

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

transforming the LSDE project from its current state to a ful1 functioning energy research laboratory at Serpong in the future This required a concentrated effort to (1) establish neede developmental activities (2) formalize structure and functions of a LSDE project development team and (3)articulate specificmilestones in terms of a proposed opening date for the laboratory initial conditions to be met by BPP Teknologi and a set of milestone achievements that could be used by US AID to judge prpgress on the overall project

Due in large part to the above reasons the nature of Bechtels services for the LSDE project can be characterized as advisory relative to a very largenumber of separate subjects and activities The main ones are highlighted in the following section

II SUMMARY OF ACTIVITIES

Activities undertaken can be broadly categorized as follows The timeframe during which these activities were undertaken is indicated

Review Draft Masterplan (January-February 1986) The draft masterplanissued in August 1985 was reviewed in detail Resulting review comments wereprovided to Dr D Anson of Battelle as input to finalizing the msterplanUnfortunately few if any were inborporated in the fnal LSDE masterplan issued by Battelle in February of 1986 Main concerns regarding the draft masterplan were as follows (1) lack of separation between the vision of LSDE as a future institute and problems associated with implementing this vision (2) too much emphasis on concepts and methodological material as contrasted to down to earth descriptions of work and projects to be undertaken by LSDE (3)lack of rationale based on real needs to be met by LSDE for the selected prioritiesand thrust of LSDE (4) omission of a discussion of and plans for the orderlydevelopment of the physical faclities at Serpong (5) omission of explicitrequirements for coordination and cooperation between LSDE and other GOI institutions in terms of personnel exchange execution of projects etc (6)lack of concern for moving from a situation in which BPPT conducts a largeenergy research program to a future situation in which energy research is conducted at BPPT and at LSDE

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Project Assessment to US AID (January 1986) An initial assessment was provided of problems hampering the smooth implementation of the LSDE projectThis included an assessment of the status quo a review of options to proceed and a set of recommendations aimed at specific modifications in project execution

Assistance to Battelle (February 1986) Due ro generally perceived inadequacies in the current project execution assistance was provided to Battelle in articulating options to modify the course of action followed This included changes in project team and changes in the Zattelle-BPPT contract Discussions were held with US AID and Battelle representatives to this effect However no immediate changes were implemented at that time

Formation BPPT Assistance Team (February 1986) With the help of Dr Ing Wardiman Djojonegoro six BPPT staff members were identified to assist in the data collection and analysis for the review of existing energy projects Training meetings were held and plans were made for this specific task This team assisted Bechtel in the development of the report mentioned below

Assistance in Establishina Steering Committee (February 1986) The need to establish a LSDE Steering Committee was considered of paramount importance to improve decision making regarding the LSDE project Discussions were held with Battelle and Dr AB Van Rennes Subsequently a charter for the committee was drafted which was submitted by Dr AB Van Rennes to Dr Haibie The latters approval led to official establishment of the now functioning Steering Committee

Review BPPT Energy Projects ( March-May 1986) A major effort was undertaken with the help of BPPT staff to analyze some sixty five on-going projects at BPPT The major objective of the report developed in this effort was to identify problems and solutions associated with the implementation of the masterplan in addition to identification of BPPT projects that should become part of LSDE Based on extensive review of the BPPT planning process and systems recommendations were provided under the following headings (1) The value to LSDE of demonstration projects (2) The need for Cooperative Research Agreements (3) The Disposition of BPPT Energy Projects- (4) The Need for Information Systems (5) Toward Improved Research Manaement (6) Continued Research Review and Evaluation and (7) A Discretionary D)evelopment Budget for LSDE A copy of title page and table of contents is provided in Appendix B

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Assistance to US AID (April 1986) A key problem in the execution of the LSDE project is the lack of understanding on the side of BPP Teknologi regarding US AIDs perspective and expectations for this particular project To facilitate removing this stumbling block a draft status report was prepared articulating US AIDs point of view The key issue addressed (following the arigirml LSDE project paper dated August 1982) was the need for quantifiable project cutputs and project milestdnes to be used as a means to judge satisfactory progress on the project and most importantly to justify appropriate expenditures of US loan funds

Presentation Steering Committee (June 1986) On June 9 a special steering commttee was held to discuss the review of BPPT energy projects and related issues The slide presentation used is included as Appendix C Specificapprovals were requested from the Steering Committee as identified in slide 17 of Appendix C By and large the steering committee was receptive to ideas presented although no explicit decisions were made A great deal of discussion centered around institutionalizing LSDE by means of a Surat Keputusan (SK) signed by Dr Habibie Disagreements and problems with US AID were noted and it was decided that BPPT should make its position clear by means of a letter to US AID signed by Dr Habibie Bechtels assistance was requested to draft this letter

Continued LSDE Proect Development (JuneJuly 1986) At the request of Mr D ORiordan of US AID and with the concurrence of Dr LM Panggabean Bechtel was asked to develop a PEMT-TYPE chart of all major activities that would have to be undertaken to establish LSDE as a fully functioning laboratory Of particular concern to US AID were the assurances required to justify the major investment in procurement of fuels and combustion equipment In particular if US AID would approve such procurement it should be crystalclear in advance that there would be (1) a routine budget to keep the equipment operating and maintained (2) provisions for spare parts workshopsand supplies to keep equipment in ready order (3) supporting general laboratories needed for fuels and combustion research (4) a well thought out and long term research plan for the equipment identifying specific projects and clients which would be served with the equipment and (5) adequately trained research maintenance and operational staff to run the equipment The effort to plan the continued development of LSDE has resulted in three major proposals 1)Opening of the laboratory on April 1 1988 (2) Establishment of a special

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LSDE project development team and (3) A set of milestones to be achieved by the LSDE project team The latter-if and when achieved-would allow US AID to make a gono go decision on the procurement of fuels and combustion equipment (See Appendix D for details) On July 11 a meeting was held at US AID to discuss the above proposals Agreement in principle by both US AID and BPPT was obtained to continue on the identified courn nf art4nn

MaJor Procurement (JuneJuly 1986) Equipment for fuels and combustion research as proposed by Battelle was reviewed and a proposal was made to procure all equipment as one package and to maximize local content in the entire design engineering manufacturing construction and erection sequence To meaningfully structure such procurement process it was proposed to institute the function of an independent and technically qualified representative of the owner who could safequard the legitimate interests of bothUS AID and BPPT Ashycandidate for this function was introduced to both US AID and BPPT Pending contractual arrangements it is expected that this proposed procurement process will be followed

Assistance to LSDE Proect Development Team Following the above mentioned July 11 meeting Bechtels sole effort has been directed toward coaching training and organizing the various task groups of the LSDE project development team This has included numerous meetings with BPPT staff members assigned to the (1) Information Systems Development Task (2) Institutional Development Task (3)Planning Task and (4)Operations and Facilities Task (See Appendplusmnix D) Generally the objective of thesemeetings to identifywas in greater detail and with increased accuracy the tasks to be undertaken by the various groups within the set of milestone dates agreed upon in the July 11 meeting

III OBSERVATIONSCONCLUSIONS

Although the nature of Bechtels involvement allows for many relevant observations and conclusions it is felt sufficient to highlight only those that are relevant to the continued development of the project

Project Complexity The project to develop an energy research laboratory at Serpong is of enormous complexity a fact which wan nnt o4irma

enough attention by those who designed the project To understand this complexity three specific difficulties are identified (1) Conceptual difficulties (2)Difficulties associated with moving the project forward (3)Difficulties associated with the transition from energy research at BPPT to energy research at BPPT and LSDE Conceptual difficulties relate to the problem of articulating in specifics the research priorities to be persued at LSDE Thus in setting up LSDE it is extremely important to determine precisely what products (hardware and software) and-services LSDE will provide Since LSDE is intended to be application and user oriented it is inescapable that LSDE is a market driven organization Therefore it is of paramount importance that information is available to identify priority users and priority user problems Without such information it is difficult to properly set the direction for LSDE Even until today such information is not sufficiently available as it specifically relates to a detailed insight into the Indonesian needs that LSDE will have to serve

A project in which it is not entirely clear what the end point is is encumbered by arduous decision making complicated resolution of issues slow building of concensus etc because there is no clear roadmap The roadmap evolves as the project comes along To move such projectalong requires strong and decisive but flexible project management to literally steer the project along an uncertain course Decisions on deviations in direction are required frequently to achieve an acceptable endpoint Although for such projects the PERT technique can be helpful in focussing attention and effort it seldom is entirely adequate as contrasted to using PERT for managing construction of for example a complicated bridge or any other complicated but well understood logistical operation

In addition to the above difficulties the status quo existing at BPPT pro-rides an important difficulty associated with LSDE development There are numerous examles to illustrate this difficulty such as the most talented staff needed for the LSDE project -frequently is busywith other priority projects BPPT is an existing organization with existing systems which are not necessarily adequate for LSDE plans budgets and activitie3 at the future LSDE will to some degree infringe on existing responsibilities projects budget allocations etc In summary this transitional problem requires detailed insight into BPPT as an agency in order to come up with solutions that are acceptable by those currently in commnd

-6

US AID and BPPT Project Perspectives A lingering discrepancy between BPPT and US AID regarding their respective perspectives on the LSDE project has been the cause for much delay and friction Simply stated BPPT views the rapid development of technical programs and equipment as the highest priority In this view all other concerns such as institutionalizing the laboratory obtaining budgets having appropriate staff and management etc are valid concerns However they are of secondary nature Time will take care of these and one has to trust that in time satisfactory solutions for these concerns are developed In sumary BPPT is comfortable with donors providing hardware and initial program development From then on BPPT will take care of the rest US AID on the other hand and based on experience with similar projects in other countries is very concerned that all necessary conditions are met that will assure that US loan funds are utilized in the most efficient manner Thus in this view one needs to prevent at all cost that white elephants are created or that projects simply become equipment drops

Over the last couple of months significant progress has been made to bring the two perspectives closer together The possibility that US AID may not approve the procurement has been an effective katalyst in the discussion It should be noted however that there is merit in both perspectives and that BPPTs point of view is not necessarily irrelevant Ultimately the success of LSDE is based on technical accomplishments which depend on the ability of LSDE staff members to master technical problems using appropriate equipment Thus the focus on being able to work technical problems as soon as possible is quiteValid In this view one can spend far coo much time on socalled planihing and never get down to the actual technical problems US AIDs perspective is also valid in the sense that ISDE may never achieve the technical accomplishments if the necessary conditions in terms of budgets manpower etc are not satisfied Thus LSDE may have equipment but can not really use it Clearly what should happen is that US AID and BPPT arrive at a common perspective in which US AID facilitates that technical work at LSDE ill be initiated as soon as possible while BPPT becomes more conscious of potential but realistic shortcomings of unplanned development Continued discussion on this issue will be of considerable value to BPPT in particular as it relates to formulating a response to other donors interested in providing equipment for energy research LSDEs capability to absorb and effectively utilize such equipment is a key factor in formulating this response

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People The Weakest Link Plans for continued LSDE project development have been agreed to in principle This is reflected in Appendix D However it should be realized that formulation of plans is comparatively the easy part of the job These plans will have to be implemented by BPPT staff members assisted by expatriate staff Although this observation is trivial in nature it is considered key in the continued development of LSDE Making the plans does not insure successful compltion of laboratqiy development Thereal question that should be addressed is Will the staff assigned theto project be able to do the planned tasks In this regard continuous staff performance monitoring is a necessity In addition and when the need arises BPPT should be prepared to strengthen the LSDE project team by exploring utilization of staff members from deputy areas outside KKE Furthermore it is believed worthwile if US AID would provide advice to BPPT in this respect based on frequent and detailed monitoring of performance of the LSDE project team

Technical Assistance to BPPT Staff Based on close association with the ISDE project team it is concluded that BPPT staff members need technical assistance in virtually all aspects of LSDE project development as contained in Appendix D This assistance runs the entire gamut from development of information systems to planning specific technical projects to setting up operational training programs to procurement of equipment etc In this regard it is useful to continuously correlate two facts (1) the complexity of the LSDE project as discussed earlier and (2)the age and lack of experience of BPPT staff members assigned to the LSDE project Equally important to recognizing the need for broad based technical assistance is the form in which assistance is provided It is concluded unequivocally that the most useful form is day-to-day guidance in which BPPT staff is mentored In particular this requires that expatriate advisors shoulder the same tasks as the BPPT staff They become the mentors who jointly with the BPPT staff execute all activities identified in Appendix D

RECOMMENDATIONS

Because of the overriding iportance of maintaining current project momentum it is felt important to-restric recommendations to the succesful

8 shy

IV

icontinued LSDE project development That is recommendaions are related tc events that have taken place during late June and July 1986

Agreement between US AID and BPPT During the July 11 1986 meetingbetween US AID and BPPT progress was made towards reaching better understanding between BPPT and US AID regarding the project It is important that this understanding be forma3ized and that agreement on how to continue with the project be officially recorded as a milestone by itself Not only will such formalization enhance commitmnt to the project by both sides but it will help to formally establish agreed-to milestones It is believed that this will provide added impetus to both BPPT and US AID to achieve the milestones that were established

Communication with Dr Habibie Continued development of LSDE is by no means an easy task The task is complex for reasons discussed in the previous section However and in reality the task is even more complex because development of energy research requires within BPPT active cooperation between the various deputy areas An important initial step was made by the establishment of the Steering Committee In addition to this it will be required that the LSDE project team be strengthened with personnel from other deputy areas if and when the available personnel of MKE is not sufficient to undertake assigned jobs Similarly to move projects to LSDE ie those currently executed outside KE but which clearly belong within the scope of LSDE requires active cooperation thronghout BPPT The important aspect to realize is that work in the future LSDE is certainly not restricted to IME To put it in different words development of LSDE is a responsibility for the whole of BPPT It is for the above reasons that direction and advice be obtained from the chairman of BPP Teknologi It is fully expected that requestsfor such direction be well received The implication of the above is that Dr Habibie be appraised of the progress of the project on a regular basis This is particularly relevant in view of the planned official opening of the laboratory on April 1 1988 an event which should receive wide recognition It is recomended that at this point an official response toto Dr Habibies letter JS AID is most appropriate and should not be delayed Followed up by a meeting his may assure that attention on and support for the LSDE project is greatly

Lntensified

Day-to-Day Mentoring As earlier discussed plans frequently are ierely ideas In particularw-ith respect to continued development of the

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project it will be necessary that BPPT staff be mentored on a day-to-do basis Clearly this has implications in terms of expatriate manpowe requirements and effort devoted to the project The implications of doing thi should be analyzed as soon as possible and where necessary contracts t obtain such intensive support should be formulated and signed as soon a possible The current project momentum will be severely affected if thes matters are not quickly taken care of A delay of even one month will directli impact the achievement of milestones discussed in Appendix D

Projiect Management In a complicated project such as the development o LSDE and with a fair number of expatriate advisors project management is a ke issue Strong and decisive leadership in such situation is a must It is il this role that BPPT will need a great deal of assistance from expatriatt advisors However this assistance should exceed the more traditional advisor3 consultants role In fact it is recommended that the management advisor taket explicit responsibility to help BPPT achieve the agreed upon milestones ane that work performance by the consultant be related to these particulaz achievements It is recommended that US AID assists BPPT in achieving a satisfactory relationship with its management advisor recognizing that tc achieve this may require drastic changes to the status quo

LSDE Priorities Lack of a well defined set of technical priorities for LSDE is considered to be a high priority problem in and by itself Although the masterplan establishes priorities their rationale is still weak In particular if BPPT would have to communicate its LSDE plans and priorities to prospective users andor donors it is felt that a well developed starting point for the discussion is still missing The link between ISDE projects and priorities and actual (present and future) needs in Indonesia has only been established in concept Establishing this link in specifics will requireonsiderable time However efforts to do so should start as soon as possible It is for this reason that one of the project milestones to be met in JulyAugust 1986 1s the effort to scope an industrial energy- use stiddy This

nths study should be focussed specifically on establishing priority user ndustries as well as other users and on specific energy problem areas or Lreas of opportunity in which LSDE could play a specific role Although the iroblem of setting research priorities for LSDE has been discussed many times t should be recognized that this problem does not disappear by itself It will equire some concentrated initial effort to become more knowledgeable regarding lossible solutions

- U - (7

3

Project Work Focus The development of LSDE so far can be characterized by a relatively high degree of conceptual thinking This is quite natural for this type of project However it is recomnended that from now on the work focus shifts to more specific issues In particular all efforts should be directed to assure the opening of the laboratory on April 1 1988 in a manner fully satisfactory to BPPT and US AID Overall the objective of the assistance effort supported by US AID should be to maintain current project momentum and to assure that EIPT is in the best possible take-off position to continue on its own once the loan period ends ie August 31 1989 In this regard and in full conformance with the project plan sumarized in Appendix D specific emphasis should be placed on strengthening the three weakest areas

o Ability to plan and set laboratory directioand priorities o Availability of trained staff o Abi lty to execute specific technical projects in a technically and

scientifically acceptable manner

US AID Support Finally and as the saying goes one sunny day does not make sumner continued and strong US AID support is a must for the project At present a considerable group of BPPT staff members is actively working on the project and expectations of success and work spirits are highHowever it should also be realized that the meeting on July 11 may not have resolved all problems between US AID and BPMT It is recommended that if there are remaining lingering doubts on the side of US AID they be resolved as soon as possible With every day passing project momentum is increasing and therefore any drastic change in commitment or direction would have increasingly more serious implications

3D-11-

APPENDIX A

sCOPE OF WORK

OF

BECHTEL sUPPORT SERVICES

FOR

DEVELomENTO LSDE

TECHrICAL SERVICES CRDE NO 4

SCHEDULE

ARTICLE I - TITLE

Puspiptek Energy Reserach Laboratory -Tecbnical -ssistance to LSDE

-ARTICLE 11 - OBJECTIVE

Bechtel services in support or LDamp are directed to cooperatewith Battelle in achieving the following

- Incorporation of projects related to charter mission andgoals of the CCCT Division and currently ongoing throughoutBPPT into LSDE

Identification and formulation of CCCT research projectsmost appropriate to LSDE in view of its mission and goals

Prioritization of CCCT Research projects

Close liaison between LSDE and other Indonesian energyrelated agencies to assure that research work within the CCCT Division satisfies real needs

Close liaison between LSDE and Indonesian industry to assurethat research work within the CCCT Division is applicable to and useful to Indonesian industry

-Acceleration of developing LSDE staff capability to preparethe annual operating plan for the CCCT Division

ARTICLE III - STATEMENT OF WORK

To assist in achieving the above objectives Bechtel shallundertake the following tasks Execution of these tasks will bezoordinated with the Battelle Project Manager in accordance with the guidance provided by the Master Plan

Task 1 Review LSDE Master Plan Contractor shall review theiSDEmaster plan in detail to determine basic direction of lahorashytory development in terms of mission goals organization etcSuggestions will be provided on the implementation of the Master Plan

Task 2 Analysis BPPT Projects Contractor shall make ananalysis and inventory of all current BPPT projects which intheir definition are closely related to the charter of theLSDECCCT Division An assessment of their usefulness to LSDEshall be made Where warranted specific recommendations shallbe made to Battelle and LSDE management on how to incorporate

~

3

these projects within the programr of workSpecific emphasis will be plIaced 7on for the CCCT Division

accelerating LSDEsof development by building upon results and process

accomplishments olcurrent projects Task 3 Review GOI Agency Work related to the CCCT DivisionContractor snall hold interviews and discussions with variousagencies in order G0Ito identify specific needsIncluded in the agencies

that LSDE can serve are the of andMinis try MinesPR Tambang Batubara Energy

Mineral PT Bukit Asam PLN Laboratory forDevelopment LIPI variousand universities Thesediscussions will also identify how these institutionsstaffs can contribute to research to

and theirbe undertaken within theLSDECCCT Division

Task 4 Industrial Use of CCCT Research Critical to LSDE isthe line between its research and =e use ofindustry this -research inA preliminary screening shall -be made as to the typeof existing companies in Indonesia that can benefit from the workdone in the CCCT Division as -well as the type of new companiesthat can be envisioned based on CCCT research In bothemphasis shall be casesplaced on a realistic assessmentlinkages of the type ofthat the CCCT Division should start pursuing immediately Task 5 Project Formulation and Prioritization Bechtel willwork with te Battelle team and shall develop recommendedcations to modifishyexisting projects and suggestions for new projects allbased on the results of Tasks 2 through 4 The important resultis not to achieve detail for each project but to arrive at clearlyunderstood definitions of

considering what these proj ects should achievethe LSDE mission LSDEs relationship to the work ofother GOI agencies and its relationship to Indonesian industry

Priorities will be recbmmended based on the criteria estabshylished in Masterthe Plan and those subsequenuly developed by theBattelleLSDE project team Task 6 Proiect PaDers The following project papers shallbe provided to USATD Lndonesia

nanagement as a tangible with copies to the BatteleLDEresult of the activities undertaken inthe tasks described above

a Prolect Paoer No -1 The results of Tasks 2 3 and 4shall biedocumenceT BPPT

i3n the form of an inventory of currentprojects related to the LSDECCCT Divisionlist an annotatedof LSDE research and technology application needs asseen by other GO agencies and a list of suggested technologydevelopment transfer activities of greatest benefit toIndonesian industry b Project Paver No 2 A paper shall be prepared recomshymending priorities among the projects identified for tohe Cr-T

A-24

Division The rationale for the selection shall alsoprovided be

c Project Paper No 3 A training planparticipation in all tasks for LSDE stafft shall be prepared forby USADIndonesia Approvalwith the advice of the BattelleLSDEproject mnamgers

staff will be Thi plan will detail how selected LSDEinvolved in all activities and trained in theskills necessary to conduct the same tasks on their own

Task 7 Advisory Services The Bechtel representative willact as a advisor to tne CCCT Division and assistManager and the Divisionstaff in their effort to develop firstoperating plan for the division This plan will the annual

guidelines supplied in the Master be based on thePlan and subsequent guidancesupplied by Battelle

activity as well and and the LSDE Director This is a trainingthe objective will toLSDE staff be help prepare theto conduct such an activity on their own The outputof this task will be a draft documentoperating plan for the CCCT

a prototype annualDivision to be used as a model forfuture revision of the plan Task 8 Assistance RegardinS Pro ects ProDosed By Othershe Bechree representative shll assistP --in- t_ m_ar zprojects proposed to it by third parties and other donors sothey become an thatintegral part of the coordinated LSDE planCdmment It is recognized that various tasks are dependent on a number of factors outside of the controlExamples of such factors of Bechtelare data availability availabilityof suitable LSDEBPPT staff logistiLcal problemsto timing and scheduling of meetings and with respectso on Bechtel willexert its best efforts to eliminatecooperation any such factors in closewith LSDE management and Battelle staffsubstantive success Theof executing each of thehow tasks will dependon well these factors can be eliminated during projectexecution

RTICLE IV - REPORTS a Five copies of all task reports and project papers shallbe provided to USAID by the Contractor

b The Contractor shall prepare a final report at the endthe program outlined above summarizing ofall activities and proshyviding recommendations This final report will be presentedin five (5) copies to USAID before the Contractor leavesIndonesia An additional ten (10) c4e- v-ill be providedBPPT

A-3

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ARTICLE V - STAFFING SCHEDULING AND LIAISON

Bechtel will make Dr D P Lijesen available to conduct anddirect the various tasks of this scope of services All serviceswill be conducted within a period equivalent to 135 working days To cooperate with Bechtel in the execution of all tasks BPPTLSDE will make available on a full time basis three BPPT staffmembers Together with Dr tLijesenstaff willhese membersoperate as a special task force to help develop detailed projectplans project priorities and the first annual operating plan forthe CCCT Division

The task force will work directly for USAIDIndonesia butclose liaison will be maintained with others In particular thetask force will receive information from other deputy areas withinBPPT The task force will function as a mechanism to start theimplementation of the LSDE Master Plan

The work effort is shown below

Work DaysField Staff Chief of Party (Dr Dirk Lijesen) 135

Home Office Technical SupportSenior Engineer

Home Office AdministrativeBusiness Support 3216

Total

ARTICLE VI - RATIONSHIPS AND RESPONSIBILITIES

The contractor shall be responsible to the Mision DirectorUSAJakarta or his designee

Cooperating Coimtry Liaisoa Officials are Dr Harsono Wiryosushymarto Deputy Chairman for Technology Development and Dr LoloPanggabean Director PUSPIPTEK Energy Research Laboratory

AID Liaison officials0 Riordan are in USAIDJakarta Mr DesmondChief USAIDDES and in AIDW SampTEY Alan B Jacobs

ARTICLE VII- TERMOF PEFOR1WCE

The desired starting date is Janaury 13 1986 and theestimated completion date is September 30 1986

ARTICLE VIII - TOTAL OBLIGATED AMOUNT AND BUDGET

a Total Obligated Amount

The total amount obligated for the performance of this orderis $121975 The contractor shall not ezceed the total amount obligated

A-4 7

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

A-5 (6

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

Project Assessment to US AID (January 1986) An initial assessment was provided of problems hampering the smooth implementation of the LSDE projectThis included an assessment of the status quo a review of options to proceed and a set of recommendations aimed at specific modifications in project execution

Assistance to Battelle (February 1986) Due ro generally perceived inadequacies in the current project execution assistance was provided to Battelle in articulating options to modify the course of action followed This included changes in project team and changes in the Zattelle-BPPT contract Discussions were held with US AID and Battelle representatives to this effect However no immediate changes were implemented at that time

Formation BPPT Assistance Team (February 1986) With the help of Dr Ing Wardiman Djojonegoro six BPPT staff members were identified to assist in the data collection and analysis for the review of existing energy projects Training meetings were held and plans were made for this specific task This team assisted Bechtel in the development of the report mentioned below

Assistance in Establishina Steering Committee (February 1986) The need to establish a LSDE Steering Committee was considered of paramount importance to improve decision making regarding the LSDE project Discussions were held with Battelle and Dr AB Van Rennes Subsequently a charter for the committee was drafted which was submitted by Dr AB Van Rennes to Dr Haibie The latters approval led to official establishment of the now functioning Steering Committee

Review BPPT Energy Projects ( March-May 1986) A major effort was undertaken with the help of BPPT staff to analyze some sixty five on-going projects at BPPT The major objective of the report developed in this effort was to identify problems and solutions associated with the implementation of the masterplan in addition to identification of BPPT projects that should become part of LSDE Based on extensive review of the BPPT planning process and systems recommendations were provided under the following headings (1) The value to LSDE of demonstration projects (2) The need for Cooperative Research Agreements (3) The Disposition of BPPT Energy Projects- (4) The Need for Information Systems (5) Toward Improved Research Manaement (6) Continued Research Review and Evaluation and (7) A Discretionary D)evelopment Budget for LSDE A copy of title page and table of contents is provided in Appendix B

-3shy

Assistance to US AID (April 1986) A key problem in the execution of the LSDE project is the lack of understanding on the side of BPP Teknologi regarding US AIDs perspective and expectations for this particular project To facilitate removing this stumbling block a draft status report was prepared articulating US AIDs point of view The key issue addressed (following the arigirml LSDE project paper dated August 1982) was the need for quantifiable project cutputs and project milestdnes to be used as a means to judge satisfactory progress on the project and most importantly to justify appropriate expenditures of US loan funds

Presentation Steering Committee (June 1986) On June 9 a special steering commttee was held to discuss the review of BPPT energy projects and related issues The slide presentation used is included as Appendix C Specificapprovals were requested from the Steering Committee as identified in slide 17 of Appendix C By and large the steering committee was receptive to ideas presented although no explicit decisions were made A great deal of discussion centered around institutionalizing LSDE by means of a Surat Keputusan (SK) signed by Dr Habibie Disagreements and problems with US AID were noted and it was decided that BPPT should make its position clear by means of a letter to US AID signed by Dr Habibie Bechtels assistance was requested to draft this letter

Continued LSDE Proect Development (JuneJuly 1986) At the request of Mr D ORiordan of US AID and with the concurrence of Dr LM Panggabean Bechtel was asked to develop a PEMT-TYPE chart of all major activities that would have to be undertaken to establish LSDE as a fully functioning laboratory Of particular concern to US AID were the assurances required to justify the major investment in procurement of fuels and combustion equipment In particular if US AID would approve such procurement it should be crystalclear in advance that there would be (1) a routine budget to keep the equipment operating and maintained (2) provisions for spare parts workshopsand supplies to keep equipment in ready order (3) supporting general laboratories needed for fuels and combustion research (4) a well thought out and long term research plan for the equipment identifying specific projects and clients which would be served with the equipment and (5) adequately trained research maintenance and operational staff to run the equipment The effort to plan the continued development of LSDE has resulted in three major proposals 1)Opening of the laboratory on April 1 1988 (2) Establishment of a special

-4- 6

LSDE project development team and (3) A set of milestones to be achieved by the LSDE project team The latter-if and when achieved-would allow US AID to make a gono go decision on the procurement of fuels and combustion equipment (See Appendix D for details) On July 11 a meeting was held at US AID to discuss the above proposals Agreement in principle by both US AID and BPPT was obtained to continue on the identified courn nf art4nn

MaJor Procurement (JuneJuly 1986) Equipment for fuels and combustion research as proposed by Battelle was reviewed and a proposal was made to procure all equipment as one package and to maximize local content in the entire design engineering manufacturing construction and erection sequence To meaningfully structure such procurement process it was proposed to institute the function of an independent and technically qualified representative of the owner who could safequard the legitimate interests of bothUS AID and BPPT Ashycandidate for this function was introduced to both US AID and BPPT Pending contractual arrangements it is expected that this proposed procurement process will be followed

Assistance to LSDE Proect Development Team Following the above mentioned July 11 meeting Bechtels sole effort has been directed toward coaching training and organizing the various task groups of the LSDE project development team This has included numerous meetings with BPPT staff members assigned to the (1) Information Systems Development Task (2) Institutional Development Task (3)Planning Task and (4)Operations and Facilities Task (See Appendplusmnix D) Generally the objective of thesemeetings to identifywas in greater detail and with increased accuracy the tasks to be undertaken by the various groups within the set of milestone dates agreed upon in the July 11 meeting

III OBSERVATIONSCONCLUSIONS

Although the nature of Bechtels involvement allows for many relevant observations and conclusions it is felt sufficient to highlight only those that are relevant to the continued development of the project

Project Complexity The project to develop an energy research laboratory at Serpong is of enormous complexity a fact which wan nnt o4irma

enough attention by those who designed the project To understand this complexity three specific difficulties are identified (1) Conceptual difficulties (2)Difficulties associated with moving the project forward (3)Difficulties associated with the transition from energy research at BPPT to energy research at BPPT and LSDE Conceptual difficulties relate to the problem of articulating in specifics the research priorities to be persued at LSDE Thus in setting up LSDE it is extremely important to determine precisely what products (hardware and software) and-services LSDE will provide Since LSDE is intended to be application and user oriented it is inescapable that LSDE is a market driven organization Therefore it is of paramount importance that information is available to identify priority users and priority user problems Without such information it is difficult to properly set the direction for LSDE Even until today such information is not sufficiently available as it specifically relates to a detailed insight into the Indonesian needs that LSDE will have to serve

A project in which it is not entirely clear what the end point is is encumbered by arduous decision making complicated resolution of issues slow building of concensus etc because there is no clear roadmap The roadmap evolves as the project comes along To move such projectalong requires strong and decisive but flexible project management to literally steer the project along an uncertain course Decisions on deviations in direction are required frequently to achieve an acceptable endpoint Although for such projects the PERT technique can be helpful in focussing attention and effort it seldom is entirely adequate as contrasted to using PERT for managing construction of for example a complicated bridge or any other complicated but well understood logistical operation

In addition to the above difficulties the status quo existing at BPPT pro-rides an important difficulty associated with LSDE development There are numerous examles to illustrate this difficulty such as the most talented staff needed for the LSDE project -frequently is busywith other priority projects BPPT is an existing organization with existing systems which are not necessarily adequate for LSDE plans budgets and activitie3 at the future LSDE will to some degree infringe on existing responsibilities projects budget allocations etc In summary this transitional problem requires detailed insight into BPPT as an agency in order to come up with solutions that are acceptable by those currently in commnd

-6

US AID and BPPT Project Perspectives A lingering discrepancy between BPPT and US AID regarding their respective perspectives on the LSDE project has been the cause for much delay and friction Simply stated BPPT views the rapid development of technical programs and equipment as the highest priority In this view all other concerns such as institutionalizing the laboratory obtaining budgets having appropriate staff and management etc are valid concerns However they are of secondary nature Time will take care of these and one has to trust that in time satisfactory solutions for these concerns are developed In sumary BPPT is comfortable with donors providing hardware and initial program development From then on BPPT will take care of the rest US AID on the other hand and based on experience with similar projects in other countries is very concerned that all necessary conditions are met that will assure that US loan funds are utilized in the most efficient manner Thus in this view one needs to prevent at all cost that white elephants are created or that projects simply become equipment drops

Over the last couple of months significant progress has been made to bring the two perspectives closer together The possibility that US AID may not approve the procurement has been an effective katalyst in the discussion It should be noted however that there is merit in both perspectives and that BPPTs point of view is not necessarily irrelevant Ultimately the success of LSDE is based on technical accomplishments which depend on the ability of LSDE staff members to master technical problems using appropriate equipment Thus the focus on being able to work technical problems as soon as possible is quiteValid In this view one can spend far coo much time on socalled planihing and never get down to the actual technical problems US AIDs perspective is also valid in the sense that ISDE may never achieve the technical accomplishments if the necessary conditions in terms of budgets manpower etc are not satisfied Thus LSDE may have equipment but can not really use it Clearly what should happen is that US AID and BPPT arrive at a common perspective in which US AID facilitates that technical work at LSDE ill be initiated as soon as possible while BPPT becomes more conscious of potential but realistic shortcomings of unplanned development Continued discussion on this issue will be of considerable value to BPPT in particular as it relates to formulating a response to other donors interested in providing equipment for energy research LSDEs capability to absorb and effectively utilize such equipment is a key factor in formulating this response

-7shy

People The Weakest Link Plans for continued LSDE project development have been agreed to in principle This is reflected in Appendix D However it should be realized that formulation of plans is comparatively the easy part of the job These plans will have to be implemented by BPPT staff members assisted by expatriate staff Although this observation is trivial in nature it is considered key in the continued development of LSDE Making the plans does not insure successful compltion of laboratqiy development Thereal question that should be addressed is Will the staff assigned theto project be able to do the planned tasks In this regard continuous staff performance monitoring is a necessity In addition and when the need arises BPPT should be prepared to strengthen the LSDE project team by exploring utilization of staff members from deputy areas outside KKE Furthermore it is believed worthwile if US AID would provide advice to BPPT in this respect based on frequent and detailed monitoring of performance of the LSDE project team

Technical Assistance to BPPT Staff Based on close association with the ISDE project team it is concluded that BPPT staff members need technical assistance in virtually all aspects of LSDE project development as contained in Appendix D This assistance runs the entire gamut from development of information systems to planning specific technical projects to setting up operational training programs to procurement of equipment etc In this regard it is useful to continuously correlate two facts (1) the complexity of the LSDE project as discussed earlier and (2)the age and lack of experience of BPPT staff members assigned to the LSDE project Equally important to recognizing the need for broad based technical assistance is the form in which assistance is provided It is concluded unequivocally that the most useful form is day-to-day guidance in which BPPT staff is mentored In particular this requires that expatriate advisors shoulder the same tasks as the BPPT staff They become the mentors who jointly with the BPPT staff execute all activities identified in Appendix D

RECOMMENDATIONS

Because of the overriding iportance of maintaining current project momentum it is felt important to-restric recommendations to the succesful

8 shy

IV

icontinued LSDE project development That is recommendaions are related tc events that have taken place during late June and July 1986

Agreement between US AID and BPPT During the July 11 1986 meetingbetween US AID and BPPT progress was made towards reaching better understanding between BPPT and US AID regarding the project It is important that this understanding be forma3ized and that agreement on how to continue with the project be officially recorded as a milestone by itself Not only will such formalization enhance commitmnt to the project by both sides but it will help to formally establish agreed-to milestones It is believed that this will provide added impetus to both BPPT and US AID to achieve the milestones that were established

Communication with Dr Habibie Continued development of LSDE is by no means an easy task The task is complex for reasons discussed in the previous section However and in reality the task is even more complex because development of energy research requires within BPPT active cooperation between the various deputy areas An important initial step was made by the establishment of the Steering Committee In addition to this it will be required that the LSDE project team be strengthened with personnel from other deputy areas if and when the available personnel of MKE is not sufficient to undertake assigned jobs Similarly to move projects to LSDE ie those currently executed outside KE but which clearly belong within the scope of LSDE requires active cooperation thronghout BPPT The important aspect to realize is that work in the future LSDE is certainly not restricted to IME To put it in different words development of LSDE is a responsibility for the whole of BPPT It is for the above reasons that direction and advice be obtained from the chairman of BPP Teknologi It is fully expected that requestsfor such direction be well received The implication of the above is that Dr Habibie be appraised of the progress of the project on a regular basis This is particularly relevant in view of the planned official opening of the laboratory on April 1 1988 an event which should receive wide recognition It is recomended that at this point an official response toto Dr Habibies letter JS AID is most appropriate and should not be delayed Followed up by a meeting his may assure that attention on and support for the LSDE project is greatly

Lntensified

Day-to-Day Mentoring As earlier discussed plans frequently are ierely ideas In particularw-ith respect to continued development of the

-9 shy

project it will be necessary that BPPT staff be mentored on a day-to-do basis Clearly this has implications in terms of expatriate manpowe requirements and effort devoted to the project The implications of doing thi should be analyzed as soon as possible and where necessary contracts t obtain such intensive support should be formulated and signed as soon a possible The current project momentum will be severely affected if thes matters are not quickly taken care of A delay of even one month will directli impact the achievement of milestones discussed in Appendix D

Projiect Management In a complicated project such as the development o LSDE and with a fair number of expatriate advisors project management is a ke issue Strong and decisive leadership in such situation is a must It is il this role that BPPT will need a great deal of assistance from expatriatt advisors However this assistance should exceed the more traditional advisor3 consultants role In fact it is recommended that the management advisor taket explicit responsibility to help BPPT achieve the agreed upon milestones ane that work performance by the consultant be related to these particulaz achievements It is recommended that US AID assists BPPT in achieving a satisfactory relationship with its management advisor recognizing that tc achieve this may require drastic changes to the status quo

LSDE Priorities Lack of a well defined set of technical priorities for LSDE is considered to be a high priority problem in and by itself Although the masterplan establishes priorities their rationale is still weak In particular if BPPT would have to communicate its LSDE plans and priorities to prospective users andor donors it is felt that a well developed starting point for the discussion is still missing The link between ISDE projects and priorities and actual (present and future) needs in Indonesia has only been established in concept Establishing this link in specifics will requireonsiderable time However efforts to do so should start as soon as possible It is for this reason that one of the project milestones to be met in JulyAugust 1986 1s the effort to scope an industrial energy- use stiddy This

nths study should be focussed specifically on establishing priority user ndustries as well as other users and on specific energy problem areas or Lreas of opportunity in which LSDE could play a specific role Although the iroblem of setting research priorities for LSDE has been discussed many times t should be recognized that this problem does not disappear by itself It will equire some concentrated initial effort to become more knowledgeable regarding lossible solutions

- U - (7

3

Project Work Focus The development of LSDE so far can be characterized by a relatively high degree of conceptual thinking This is quite natural for this type of project However it is recomnended that from now on the work focus shifts to more specific issues In particular all efforts should be directed to assure the opening of the laboratory on April 1 1988 in a manner fully satisfactory to BPPT and US AID Overall the objective of the assistance effort supported by US AID should be to maintain current project momentum and to assure that EIPT is in the best possible take-off position to continue on its own once the loan period ends ie August 31 1989 In this regard and in full conformance with the project plan sumarized in Appendix D specific emphasis should be placed on strengthening the three weakest areas

o Ability to plan and set laboratory directioand priorities o Availability of trained staff o Abi lty to execute specific technical projects in a technically and

scientifically acceptable manner

US AID Support Finally and as the saying goes one sunny day does not make sumner continued and strong US AID support is a must for the project At present a considerable group of BPPT staff members is actively working on the project and expectations of success and work spirits are highHowever it should also be realized that the meeting on July 11 may not have resolved all problems between US AID and BPMT It is recommended that if there are remaining lingering doubts on the side of US AID they be resolved as soon as possible With every day passing project momentum is increasing and therefore any drastic change in commitment or direction would have increasingly more serious implications

3D-11-

APPENDIX A

sCOPE OF WORK

OF

BECHTEL sUPPORT SERVICES

FOR

DEVELomENTO LSDE

TECHrICAL SERVICES CRDE NO 4

SCHEDULE

ARTICLE I - TITLE

Puspiptek Energy Reserach Laboratory -Tecbnical -ssistance to LSDE

-ARTICLE 11 - OBJECTIVE

Bechtel services in support or LDamp are directed to cooperatewith Battelle in achieving the following

- Incorporation of projects related to charter mission andgoals of the CCCT Division and currently ongoing throughoutBPPT into LSDE

Identification and formulation of CCCT research projectsmost appropriate to LSDE in view of its mission and goals

Prioritization of CCCT Research projects

Close liaison between LSDE and other Indonesian energyrelated agencies to assure that research work within the CCCT Division satisfies real needs

Close liaison between LSDE and Indonesian industry to assurethat research work within the CCCT Division is applicable to and useful to Indonesian industry

-Acceleration of developing LSDE staff capability to preparethe annual operating plan for the CCCT Division

ARTICLE III - STATEMENT OF WORK

To assist in achieving the above objectives Bechtel shallundertake the following tasks Execution of these tasks will bezoordinated with the Battelle Project Manager in accordance with the guidance provided by the Master Plan

Task 1 Review LSDE Master Plan Contractor shall review theiSDEmaster plan in detail to determine basic direction of lahorashytory development in terms of mission goals organization etcSuggestions will be provided on the implementation of the Master Plan

Task 2 Analysis BPPT Projects Contractor shall make ananalysis and inventory of all current BPPT projects which intheir definition are closely related to the charter of theLSDECCCT Division An assessment of their usefulness to LSDEshall be made Where warranted specific recommendations shallbe made to Battelle and LSDE management on how to incorporate

~

3

these projects within the programr of workSpecific emphasis will be plIaced 7on for the CCCT Division

accelerating LSDEsof development by building upon results and process

accomplishments olcurrent projects Task 3 Review GOI Agency Work related to the CCCT DivisionContractor snall hold interviews and discussions with variousagencies in order G0Ito identify specific needsIncluded in the agencies

that LSDE can serve are the of andMinis try MinesPR Tambang Batubara Energy

Mineral PT Bukit Asam PLN Laboratory forDevelopment LIPI variousand universities Thesediscussions will also identify how these institutionsstaffs can contribute to research to

and theirbe undertaken within theLSDECCCT Division

Task 4 Industrial Use of CCCT Research Critical to LSDE isthe line between its research and =e use ofindustry this -research inA preliminary screening shall -be made as to the typeof existing companies in Indonesia that can benefit from the workdone in the CCCT Division as -well as the type of new companiesthat can be envisioned based on CCCT research In bothemphasis shall be casesplaced on a realistic assessmentlinkages of the type ofthat the CCCT Division should start pursuing immediately Task 5 Project Formulation and Prioritization Bechtel willwork with te Battelle team and shall develop recommendedcations to modifishyexisting projects and suggestions for new projects allbased on the results of Tasks 2 through 4 The important resultis not to achieve detail for each project but to arrive at clearlyunderstood definitions of

considering what these proj ects should achievethe LSDE mission LSDEs relationship to the work ofother GOI agencies and its relationship to Indonesian industry

Priorities will be recbmmended based on the criteria estabshylished in Masterthe Plan and those subsequenuly developed by theBattelleLSDE project team Task 6 Proiect PaDers The following project papers shallbe provided to USATD Lndonesia

nanagement as a tangible with copies to the BatteleLDEresult of the activities undertaken inthe tasks described above

a Prolect Paoer No -1 The results of Tasks 2 3 and 4shall biedocumenceT BPPT

i3n the form of an inventory of currentprojects related to the LSDECCCT Divisionlist an annotatedof LSDE research and technology application needs asseen by other GO agencies and a list of suggested technologydevelopment transfer activities of greatest benefit toIndonesian industry b Project Paver No 2 A paper shall be prepared recomshymending priorities among the projects identified for tohe Cr-T

A-24

Division The rationale for the selection shall alsoprovided be

c Project Paper No 3 A training planparticipation in all tasks for LSDE stafft shall be prepared forby USADIndonesia Approvalwith the advice of the BattelleLSDEproject mnamgers

staff will be Thi plan will detail how selected LSDEinvolved in all activities and trained in theskills necessary to conduct the same tasks on their own

Task 7 Advisory Services The Bechtel representative willact as a advisor to tne CCCT Division and assistManager and the Divisionstaff in their effort to develop firstoperating plan for the division This plan will the annual

guidelines supplied in the Master be based on thePlan and subsequent guidancesupplied by Battelle

activity as well and and the LSDE Director This is a trainingthe objective will toLSDE staff be help prepare theto conduct such an activity on their own The outputof this task will be a draft documentoperating plan for the CCCT

a prototype annualDivision to be used as a model forfuture revision of the plan Task 8 Assistance RegardinS Pro ects ProDosed By Othershe Bechree representative shll assistP --in- t_ m_ar zprojects proposed to it by third parties and other donors sothey become an thatintegral part of the coordinated LSDE planCdmment It is recognized that various tasks are dependent on a number of factors outside of the controlExamples of such factors of Bechtelare data availability availabilityof suitable LSDEBPPT staff logistiLcal problemsto timing and scheduling of meetings and with respectso on Bechtel willexert its best efforts to eliminatecooperation any such factors in closewith LSDE management and Battelle staffsubstantive success Theof executing each of thehow tasks will dependon well these factors can be eliminated during projectexecution

RTICLE IV - REPORTS a Five copies of all task reports and project papers shallbe provided to USAID by the Contractor

b The Contractor shall prepare a final report at the endthe program outlined above summarizing ofall activities and proshyviding recommendations This final report will be presentedin five (5) copies to USAID before the Contractor leavesIndonesia An additional ten (10) c4e- v-ill be providedBPPT

A-3

-5-

ARTICLE V - STAFFING SCHEDULING AND LIAISON

Bechtel will make Dr D P Lijesen available to conduct anddirect the various tasks of this scope of services All serviceswill be conducted within a period equivalent to 135 working days To cooperate with Bechtel in the execution of all tasks BPPTLSDE will make available on a full time basis three BPPT staffmembers Together with Dr tLijesenstaff willhese membersoperate as a special task force to help develop detailed projectplans project priorities and the first annual operating plan forthe CCCT Division

The task force will work directly for USAIDIndonesia butclose liaison will be maintained with others In particular thetask force will receive information from other deputy areas withinBPPT The task force will function as a mechanism to start theimplementation of the LSDE Master Plan

The work effort is shown below

Work DaysField Staff Chief of Party (Dr Dirk Lijesen) 135

Home Office Technical SupportSenior Engineer

Home Office AdministrativeBusiness Support 3216

Total

ARTICLE VI - RATIONSHIPS AND RESPONSIBILITIES

The contractor shall be responsible to the Mision DirectorUSAJakarta or his designee

Cooperating Coimtry Liaisoa Officials are Dr Harsono Wiryosushymarto Deputy Chairman for Technology Development and Dr LoloPanggabean Director PUSPIPTEK Energy Research Laboratory

AID Liaison officials0 Riordan are in USAIDJakarta Mr DesmondChief USAIDDES and in AIDW SampTEY Alan B Jacobs

ARTICLE VII- TERMOF PEFOR1WCE

The desired starting date is Janaury 13 1986 and theestimated completion date is September 30 1986

ARTICLE VIII - TOTAL OBLIGATED AMOUNT AND BUDGET

a Total Obligated Amount

The total amount obligated for the performance of this orderis $121975 The contractor shall not ezceed the total amount obligated

A-4 7

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

A-5 (6

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

Assistance to US AID (April 1986) A key problem in the execution of the LSDE project is the lack of understanding on the side of BPP Teknologi regarding US AIDs perspective and expectations for this particular project To facilitate removing this stumbling block a draft status report was prepared articulating US AIDs point of view The key issue addressed (following the arigirml LSDE project paper dated August 1982) was the need for quantifiable project cutputs and project milestdnes to be used as a means to judge satisfactory progress on the project and most importantly to justify appropriate expenditures of US loan funds

Presentation Steering Committee (June 1986) On June 9 a special steering commttee was held to discuss the review of BPPT energy projects and related issues The slide presentation used is included as Appendix C Specificapprovals were requested from the Steering Committee as identified in slide 17 of Appendix C By and large the steering committee was receptive to ideas presented although no explicit decisions were made A great deal of discussion centered around institutionalizing LSDE by means of a Surat Keputusan (SK) signed by Dr Habibie Disagreements and problems with US AID were noted and it was decided that BPPT should make its position clear by means of a letter to US AID signed by Dr Habibie Bechtels assistance was requested to draft this letter

Continued LSDE Proect Development (JuneJuly 1986) At the request of Mr D ORiordan of US AID and with the concurrence of Dr LM Panggabean Bechtel was asked to develop a PEMT-TYPE chart of all major activities that would have to be undertaken to establish LSDE as a fully functioning laboratory Of particular concern to US AID were the assurances required to justify the major investment in procurement of fuels and combustion equipment In particular if US AID would approve such procurement it should be crystalclear in advance that there would be (1) a routine budget to keep the equipment operating and maintained (2) provisions for spare parts workshopsand supplies to keep equipment in ready order (3) supporting general laboratories needed for fuels and combustion research (4) a well thought out and long term research plan for the equipment identifying specific projects and clients which would be served with the equipment and (5) adequately trained research maintenance and operational staff to run the equipment The effort to plan the continued development of LSDE has resulted in three major proposals 1)Opening of the laboratory on April 1 1988 (2) Establishment of a special

-4- 6

LSDE project development team and (3) A set of milestones to be achieved by the LSDE project team The latter-if and when achieved-would allow US AID to make a gono go decision on the procurement of fuels and combustion equipment (See Appendix D for details) On July 11 a meeting was held at US AID to discuss the above proposals Agreement in principle by both US AID and BPPT was obtained to continue on the identified courn nf art4nn

MaJor Procurement (JuneJuly 1986) Equipment for fuels and combustion research as proposed by Battelle was reviewed and a proposal was made to procure all equipment as one package and to maximize local content in the entire design engineering manufacturing construction and erection sequence To meaningfully structure such procurement process it was proposed to institute the function of an independent and technically qualified representative of the owner who could safequard the legitimate interests of bothUS AID and BPPT Ashycandidate for this function was introduced to both US AID and BPPT Pending contractual arrangements it is expected that this proposed procurement process will be followed

Assistance to LSDE Proect Development Team Following the above mentioned July 11 meeting Bechtels sole effort has been directed toward coaching training and organizing the various task groups of the LSDE project development team This has included numerous meetings with BPPT staff members assigned to the (1) Information Systems Development Task (2) Institutional Development Task (3)Planning Task and (4)Operations and Facilities Task (See Appendplusmnix D) Generally the objective of thesemeetings to identifywas in greater detail and with increased accuracy the tasks to be undertaken by the various groups within the set of milestone dates agreed upon in the July 11 meeting

III OBSERVATIONSCONCLUSIONS

Although the nature of Bechtels involvement allows for many relevant observations and conclusions it is felt sufficient to highlight only those that are relevant to the continued development of the project

Project Complexity The project to develop an energy research laboratory at Serpong is of enormous complexity a fact which wan nnt o4irma

enough attention by those who designed the project To understand this complexity three specific difficulties are identified (1) Conceptual difficulties (2)Difficulties associated with moving the project forward (3)Difficulties associated with the transition from energy research at BPPT to energy research at BPPT and LSDE Conceptual difficulties relate to the problem of articulating in specifics the research priorities to be persued at LSDE Thus in setting up LSDE it is extremely important to determine precisely what products (hardware and software) and-services LSDE will provide Since LSDE is intended to be application and user oriented it is inescapable that LSDE is a market driven organization Therefore it is of paramount importance that information is available to identify priority users and priority user problems Without such information it is difficult to properly set the direction for LSDE Even until today such information is not sufficiently available as it specifically relates to a detailed insight into the Indonesian needs that LSDE will have to serve

A project in which it is not entirely clear what the end point is is encumbered by arduous decision making complicated resolution of issues slow building of concensus etc because there is no clear roadmap The roadmap evolves as the project comes along To move such projectalong requires strong and decisive but flexible project management to literally steer the project along an uncertain course Decisions on deviations in direction are required frequently to achieve an acceptable endpoint Although for such projects the PERT technique can be helpful in focussing attention and effort it seldom is entirely adequate as contrasted to using PERT for managing construction of for example a complicated bridge or any other complicated but well understood logistical operation

In addition to the above difficulties the status quo existing at BPPT pro-rides an important difficulty associated with LSDE development There are numerous examles to illustrate this difficulty such as the most talented staff needed for the LSDE project -frequently is busywith other priority projects BPPT is an existing organization with existing systems which are not necessarily adequate for LSDE plans budgets and activitie3 at the future LSDE will to some degree infringe on existing responsibilities projects budget allocations etc In summary this transitional problem requires detailed insight into BPPT as an agency in order to come up with solutions that are acceptable by those currently in commnd

-6

US AID and BPPT Project Perspectives A lingering discrepancy between BPPT and US AID regarding their respective perspectives on the LSDE project has been the cause for much delay and friction Simply stated BPPT views the rapid development of technical programs and equipment as the highest priority In this view all other concerns such as institutionalizing the laboratory obtaining budgets having appropriate staff and management etc are valid concerns However they are of secondary nature Time will take care of these and one has to trust that in time satisfactory solutions for these concerns are developed In sumary BPPT is comfortable with donors providing hardware and initial program development From then on BPPT will take care of the rest US AID on the other hand and based on experience with similar projects in other countries is very concerned that all necessary conditions are met that will assure that US loan funds are utilized in the most efficient manner Thus in this view one needs to prevent at all cost that white elephants are created or that projects simply become equipment drops

Over the last couple of months significant progress has been made to bring the two perspectives closer together The possibility that US AID may not approve the procurement has been an effective katalyst in the discussion It should be noted however that there is merit in both perspectives and that BPPTs point of view is not necessarily irrelevant Ultimately the success of LSDE is based on technical accomplishments which depend on the ability of LSDE staff members to master technical problems using appropriate equipment Thus the focus on being able to work technical problems as soon as possible is quiteValid In this view one can spend far coo much time on socalled planihing and never get down to the actual technical problems US AIDs perspective is also valid in the sense that ISDE may never achieve the technical accomplishments if the necessary conditions in terms of budgets manpower etc are not satisfied Thus LSDE may have equipment but can not really use it Clearly what should happen is that US AID and BPPT arrive at a common perspective in which US AID facilitates that technical work at LSDE ill be initiated as soon as possible while BPPT becomes more conscious of potential but realistic shortcomings of unplanned development Continued discussion on this issue will be of considerable value to BPPT in particular as it relates to formulating a response to other donors interested in providing equipment for energy research LSDEs capability to absorb and effectively utilize such equipment is a key factor in formulating this response

-7shy

People The Weakest Link Plans for continued LSDE project development have been agreed to in principle This is reflected in Appendix D However it should be realized that formulation of plans is comparatively the easy part of the job These plans will have to be implemented by BPPT staff members assisted by expatriate staff Although this observation is trivial in nature it is considered key in the continued development of LSDE Making the plans does not insure successful compltion of laboratqiy development Thereal question that should be addressed is Will the staff assigned theto project be able to do the planned tasks In this regard continuous staff performance monitoring is a necessity In addition and when the need arises BPPT should be prepared to strengthen the LSDE project team by exploring utilization of staff members from deputy areas outside KKE Furthermore it is believed worthwile if US AID would provide advice to BPPT in this respect based on frequent and detailed monitoring of performance of the LSDE project team

Technical Assistance to BPPT Staff Based on close association with the ISDE project team it is concluded that BPPT staff members need technical assistance in virtually all aspects of LSDE project development as contained in Appendix D This assistance runs the entire gamut from development of information systems to planning specific technical projects to setting up operational training programs to procurement of equipment etc In this regard it is useful to continuously correlate two facts (1) the complexity of the LSDE project as discussed earlier and (2)the age and lack of experience of BPPT staff members assigned to the LSDE project Equally important to recognizing the need for broad based technical assistance is the form in which assistance is provided It is concluded unequivocally that the most useful form is day-to-day guidance in which BPPT staff is mentored In particular this requires that expatriate advisors shoulder the same tasks as the BPPT staff They become the mentors who jointly with the BPPT staff execute all activities identified in Appendix D

RECOMMENDATIONS

Because of the overriding iportance of maintaining current project momentum it is felt important to-restric recommendations to the succesful

8 shy

IV

icontinued LSDE project development That is recommendaions are related tc events that have taken place during late June and July 1986

Agreement between US AID and BPPT During the July 11 1986 meetingbetween US AID and BPPT progress was made towards reaching better understanding between BPPT and US AID regarding the project It is important that this understanding be forma3ized and that agreement on how to continue with the project be officially recorded as a milestone by itself Not only will such formalization enhance commitmnt to the project by both sides but it will help to formally establish agreed-to milestones It is believed that this will provide added impetus to both BPPT and US AID to achieve the milestones that were established

Communication with Dr Habibie Continued development of LSDE is by no means an easy task The task is complex for reasons discussed in the previous section However and in reality the task is even more complex because development of energy research requires within BPPT active cooperation between the various deputy areas An important initial step was made by the establishment of the Steering Committee In addition to this it will be required that the LSDE project team be strengthened with personnel from other deputy areas if and when the available personnel of MKE is not sufficient to undertake assigned jobs Similarly to move projects to LSDE ie those currently executed outside KE but which clearly belong within the scope of LSDE requires active cooperation thronghout BPPT The important aspect to realize is that work in the future LSDE is certainly not restricted to IME To put it in different words development of LSDE is a responsibility for the whole of BPPT It is for the above reasons that direction and advice be obtained from the chairman of BPP Teknologi It is fully expected that requestsfor such direction be well received The implication of the above is that Dr Habibie be appraised of the progress of the project on a regular basis This is particularly relevant in view of the planned official opening of the laboratory on April 1 1988 an event which should receive wide recognition It is recomended that at this point an official response toto Dr Habibies letter JS AID is most appropriate and should not be delayed Followed up by a meeting his may assure that attention on and support for the LSDE project is greatly

Lntensified

Day-to-Day Mentoring As earlier discussed plans frequently are ierely ideas In particularw-ith respect to continued development of the

-9 shy

project it will be necessary that BPPT staff be mentored on a day-to-do basis Clearly this has implications in terms of expatriate manpowe requirements and effort devoted to the project The implications of doing thi should be analyzed as soon as possible and where necessary contracts t obtain such intensive support should be formulated and signed as soon a possible The current project momentum will be severely affected if thes matters are not quickly taken care of A delay of even one month will directli impact the achievement of milestones discussed in Appendix D

Projiect Management In a complicated project such as the development o LSDE and with a fair number of expatriate advisors project management is a ke issue Strong and decisive leadership in such situation is a must It is il this role that BPPT will need a great deal of assistance from expatriatt advisors However this assistance should exceed the more traditional advisor3 consultants role In fact it is recommended that the management advisor taket explicit responsibility to help BPPT achieve the agreed upon milestones ane that work performance by the consultant be related to these particulaz achievements It is recommended that US AID assists BPPT in achieving a satisfactory relationship with its management advisor recognizing that tc achieve this may require drastic changes to the status quo

LSDE Priorities Lack of a well defined set of technical priorities for LSDE is considered to be a high priority problem in and by itself Although the masterplan establishes priorities their rationale is still weak In particular if BPPT would have to communicate its LSDE plans and priorities to prospective users andor donors it is felt that a well developed starting point for the discussion is still missing The link between ISDE projects and priorities and actual (present and future) needs in Indonesia has only been established in concept Establishing this link in specifics will requireonsiderable time However efforts to do so should start as soon as possible It is for this reason that one of the project milestones to be met in JulyAugust 1986 1s the effort to scope an industrial energy- use stiddy This

nths study should be focussed specifically on establishing priority user ndustries as well as other users and on specific energy problem areas or Lreas of opportunity in which LSDE could play a specific role Although the iroblem of setting research priorities for LSDE has been discussed many times t should be recognized that this problem does not disappear by itself It will equire some concentrated initial effort to become more knowledgeable regarding lossible solutions

- U - (7

3

Project Work Focus The development of LSDE so far can be characterized by a relatively high degree of conceptual thinking This is quite natural for this type of project However it is recomnended that from now on the work focus shifts to more specific issues In particular all efforts should be directed to assure the opening of the laboratory on April 1 1988 in a manner fully satisfactory to BPPT and US AID Overall the objective of the assistance effort supported by US AID should be to maintain current project momentum and to assure that EIPT is in the best possible take-off position to continue on its own once the loan period ends ie August 31 1989 In this regard and in full conformance with the project plan sumarized in Appendix D specific emphasis should be placed on strengthening the three weakest areas

o Ability to plan and set laboratory directioand priorities o Availability of trained staff o Abi lty to execute specific technical projects in a technically and

scientifically acceptable manner

US AID Support Finally and as the saying goes one sunny day does not make sumner continued and strong US AID support is a must for the project At present a considerable group of BPPT staff members is actively working on the project and expectations of success and work spirits are highHowever it should also be realized that the meeting on July 11 may not have resolved all problems between US AID and BPMT It is recommended that if there are remaining lingering doubts on the side of US AID they be resolved as soon as possible With every day passing project momentum is increasing and therefore any drastic change in commitment or direction would have increasingly more serious implications

3D-11-

APPENDIX A

sCOPE OF WORK

OF

BECHTEL sUPPORT SERVICES

FOR

DEVELomENTO LSDE

TECHrICAL SERVICES CRDE NO 4

SCHEDULE

ARTICLE I - TITLE

Puspiptek Energy Reserach Laboratory -Tecbnical -ssistance to LSDE

-ARTICLE 11 - OBJECTIVE

Bechtel services in support or LDamp are directed to cooperatewith Battelle in achieving the following

- Incorporation of projects related to charter mission andgoals of the CCCT Division and currently ongoing throughoutBPPT into LSDE

Identification and formulation of CCCT research projectsmost appropriate to LSDE in view of its mission and goals

Prioritization of CCCT Research projects

Close liaison between LSDE and other Indonesian energyrelated agencies to assure that research work within the CCCT Division satisfies real needs

Close liaison between LSDE and Indonesian industry to assurethat research work within the CCCT Division is applicable to and useful to Indonesian industry

-Acceleration of developing LSDE staff capability to preparethe annual operating plan for the CCCT Division

ARTICLE III - STATEMENT OF WORK

To assist in achieving the above objectives Bechtel shallundertake the following tasks Execution of these tasks will bezoordinated with the Battelle Project Manager in accordance with the guidance provided by the Master Plan

Task 1 Review LSDE Master Plan Contractor shall review theiSDEmaster plan in detail to determine basic direction of lahorashytory development in terms of mission goals organization etcSuggestions will be provided on the implementation of the Master Plan

Task 2 Analysis BPPT Projects Contractor shall make ananalysis and inventory of all current BPPT projects which intheir definition are closely related to the charter of theLSDECCCT Division An assessment of their usefulness to LSDEshall be made Where warranted specific recommendations shallbe made to Battelle and LSDE management on how to incorporate

~

3

these projects within the programr of workSpecific emphasis will be plIaced 7on for the CCCT Division

accelerating LSDEsof development by building upon results and process

accomplishments olcurrent projects Task 3 Review GOI Agency Work related to the CCCT DivisionContractor snall hold interviews and discussions with variousagencies in order G0Ito identify specific needsIncluded in the agencies

that LSDE can serve are the of andMinis try MinesPR Tambang Batubara Energy

Mineral PT Bukit Asam PLN Laboratory forDevelopment LIPI variousand universities Thesediscussions will also identify how these institutionsstaffs can contribute to research to

and theirbe undertaken within theLSDECCCT Division

Task 4 Industrial Use of CCCT Research Critical to LSDE isthe line between its research and =e use ofindustry this -research inA preliminary screening shall -be made as to the typeof existing companies in Indonesia that can benefit from the workdone in the CCCT Division as -well as the type of new companiesthat can be envisioned based on CCCT research In bothemphasis shall be casesplaced on a realistic assessmentlinkages of the type ofthat the CCCT Division should start pursuing immediately Task 5 Project Formulation and Prioritization Bechtel willwork with te Battelle team and shall develop recommendedcations to modifishyexisting projects and suggestions for new projects allbased on the results of Tasks 2 through 4 The important resultis not to achieve detail for each project but to arrive at clearlyunderstood definitions of

considering what these proj ects should achievethe LSDE mission LSDEs relationship to the work ofother GOI agencies and its relationship to Indonesian industry

Priorities will be recbmmended based on the criteria estabshylished in Masterthe Plan and those subsequenuly developed by theBattelleLSDE project team Task 6 Proiect PaDers The following project papers shallbe provided to USATD Lndonesia

nanagement as a tangible with copies to the BatteleLDEresult of the activities undertaken inthe tasks described above

a Prolect Paoer No -1 The results of Tasks 2 3 and 4shall biedocumenceT BPPT

i3n the form of an inventory of currentprojects related to the LSDECCCT Divisionlist an annotatedof LSDE research and technology application needs asseen by other GO agencies and a list of suggested technologydevelopment transfer activities of greatest benefit toIndonesian industry b Project Paver No 2 A paper shall be prepared recomshymending priorities among the projects identified for tohe Cr-T

A-24

Division The rationale for the selection shall alsoprovided be

c Project Paper No 3 A training planparticipation in all tasks for LSDE stafft shall be prepared forby USADIndonesia Approvalwith the advice of the BattelleLSDEproject mnamgers

staff will be Thi plan will detail how selected LSDEinvolved in all activities and trained in theskills necessary to conduct the same tasks on their own

Task 7 Advisory Services The Bechtel representative willact as a advisor to tne CCCT Division and assistManager and the Divisionstaff in their effort to develop firstoperating plan for the division This plan will the annual

guidelines supplied in the Master be based on thePlan and subsequent guidancesupplied by Battelle

activity as well and and the LSDE Director This is a trainingthe objective will toLSDE staff be help prepare theto conduct such an activity on their own The outputof this task will be a draft documentoperating plan for the CCCT

a prototype annualDivision to be used as a model forfuture revision of the plan Task 8 Assistance RegardinS Pro ects ProDosed By Othershe Bechree representative shll assistP --in- t_ m_ar zprojects proposed to it by third parties and other donors sothey become an thatintegral part of the coordinated LSDE planCdmment It is recognized that various tasks are dependent on a number of factors outside of the controlExamples of such factors of Bechtelare data availability availabilityof suitable LSDEBPPT staff logistiLcal problemsto timing and scheduling of meetings and with respectso on Bechtel willexert its best efforts to eliminatecooperation any such factors in closewith LSDE management and Battelle staffsubstantive success Theof executing each of thehow tasks will dependon well these factors can be eliminated during projectexecution

RTICLE IV - REPORTS a Five copies of all task reports and project papers shallbe provided to USAID by the Contractor

b The Contractor shall prepare a final report at the endthe program outlined above summarizing ofall activities and proshyviding recommendations This final report will be presentedin five (5) copies to USAID before the Contractor leavesIndonesia An additional ten (10) c4e- v-ill be providedBPPT

A-3

-5-

ARTICLE V - STAFFING SCHEDULING AND LIAISON

Bechtel will make Dr D P Lijesen available to conduct anddirect the various tasks of this scope of services All serviceswill be conducted within a period equivalent to 135 working days To cooperate with Bechtel in the execution of all tasks BPPTLSDE will make available on a full time basis three BPPT staffmembers Together with Dr tLijesenstaff willhese membersoperate as a special task force to help develop detailed projectplans project priorities and the first annual operating plan forthe CCCT Division

The task force will work directly for USAIDIndonesia butclose liaison will be maintained with others In particular thetask force will receive information from other deputy areas withinBPPT The task force will function as a mechanism to start theimplementation of the LSDE Master Plan

The work effort is shown below

Work DaysField Staff Chief of Party (Dr Dirk Lijesen) 135

Home Office Technical SupportSenior Engineer

Home Office AdministrativeBusiness Support 3216

Total

ARTICLE VI - RATIONSHIPS AND RESPONSIBILITIES

The contractor shall be responsible to the Mision DirectorUSAJakarta or his designee

Cooperating Coimtry Liaisoa Officials are Dr Harsono Wiryosushymarto Deputy Chairman for Technology Development and Dr LoloPanggabean Director PUSPIPTEK Energy Research Laboratory

AID Liaison officials0 Riordan are in USAIDJakarta Mr DesmondChief USAIDDES and in AIDW SampTEY Alan B Jacobs

ARTICLE VII- TERMOF PEFOR1WCE

The desired starting date is Janaury 13 1986 and theestimated completion date is September 30 1986

ARTICLE VIII - TOTAL OBLIGATED AMOUNT AND BUDGET

a Total Obligated Amount

The total amount obligated for the performance of this orderis $121975 The contractor shall not ezceed the total amount obligated

A-4 7

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

A-5 (6

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

LSDE project development team and (3) A set of milestones to be achieved by the LSDE project team The latter-if and when achieved-would allow US AID to make a gono go decision on the procurement of fuels and combustion equipment (See Appendix D for details) On July 11 a meeting was held at US AID to discuss the above proposals Agreement in principle by both US AID and BPPT was obtained to continue on the identified courn nf art4nn

MaJor Procurement (JuneJuly 1986) Equipment for fuels and combustion research as proposed by Battelle was reviewed and a proposal was made to procure all equipment as one package and to maximize local content in the entire design engineering manufacturing construction and erection sequence To meaningfully structure such procurement process it was proposed to institute the function of an independent and technically qualified representative of the owner who could safequard the legitimate interests of bothUS AID and BPPT Ashycandidate for this function was introduced to both US AID and BPPT Pending contractual arrangements it is expected that this proposed procurement process will be followed

Assistance to LSDE Proect Development Team Following the above mentioned July 11 meeting Bechtels sole effort has been directed toward coaching training and organizing the various task groups of the LSDE project development team This has included numerous meetings with BPPT staff members assigned to the (1) Information Systems Development Task (2) Institutional Development Task (3)Planning Task and (4)Operations and Facilities Task (See Appendplusmnix D) Generally the objective of thesemeetings to identifywas in greater detail and with increased accuracy the tasks to be undertaken by the various groups within the set of milestone dates agreed upon in the July 11 meeting

III OBSERVATIONSCONCLUSIONS

Although the nature of Bechtels involvement allows for many relevant observations and conclusions it is felt sufficient to highlight only those that are relevant to the continued development of the project

Project Complexity The project to develop an energy research laboratory at Serpong is of enormous complexity a fact which wan nnt o4irma

enough attention by those who designed the project To understand this complexity three specific difficulties are identified (1) Conceptual difficulties (2)Difficulties associated with moving the project forward (3)Difficulties associated with the transition from energy research at BPPT to energy research at BPPT and LSDE Conceptual difficulties relate to the problem of articulating in specifics the research priorities to be persued at LSDE Thus in setting up LSDE it is extremely important to determine precisely what products (hardware and software) and-services LSDE will provide Since LSDE is intended to be application and user oriented it is inescapable that LSDE is a market driven organization Therefore it is of paramount importance that information is available to identify priority users and priority user problems Without such information it is difficult to properly set the direction for LSDE Even until today such information is not sufficiently available as it specifically relates to a detailed insight into the Indonesian needs that LSDE will have to serve

A project in which it is not entirely clear what the end point is is encumbered by arduous decision making complicated resolution of issues slow building of concensus etc because there is no clear roadmap The roadmap evolves as the project comes along To move such projectalong requires strong and decisive but flexible project management to literally steer the project along an uncertain course Decisions on deviations in direction are required frequently to achieve an acceptable endpoint Although for such projects the PERT technique can be helpful in focussing attention and effort it seldom is entirely adequate as contrasted to using PERT for managing construction of for example a complicated bridge or any other complicated but well understood logistical operation

In addition to the above difficulties the status quo existing at BPPT pro-rides an important difficulty associated with LSDE development There are numerous examles to illustrate this difficulty such as the most talented staff needed for the LSDE project -frequently is busywith other priority projects BPPT is an existing organization with existing systems which are not necessarily adequate for LSDE plans budgets and activitie3 at the future LSDE will to some degree infringe on existing responsibilities projects budget allocations etc In summary this transitional problem requires detailed insight into BPPT as an agency in order to come up with solutions that are acceptable by those currently in commnd

-6

US AID and BPPT Project Perspectives A lingering discrepancy between BPPT and US AID regarding their respective perspectives on the LSDE project has been the cause for much delay and friction Simply stated BPPT views the rapid development of technical programs and equipment as the highest priority In this view all other concerns such as institutionalizing the laboratory obtaining budgets having appropriate staff and management etc are valid concerns However they are of secondary nature Time will take care of these and one has to trust that in time satisfactory solutions for these concerns are developed In sumary BPPT is comfortable with donors providing hardware and initial program development From then on BPPT will take care of the rest US AID on the other hand and based on experience with similar projects in other countries is very concerned that all necessary conditions are met that will assure that US loan funds are utilized in the most efficient manner Thus in this view one needs to prevent at all cost that white elephants are created or that projects simply become equipment drops

Over the last couple of months significant progress has been made to bring the two perspectives closer together The possibility that US AID may not approve the procurement has been an effective katalyst in the discussion It should be noted however that there is merit in both perspectives and that BPPTs point of view is not necessarily irrelevant Ultimately the success of LSDE is based on technical accomplishments which depend on the ability of LSDE staff members to master technical problems using appropriate equipment Thus the focus on being able to work technical problems as soon as possible is quiteValid In this view one can spend far coo much time on socalled planihing and never get down to the actual technical problems US AIDs perspective is also valid in the sense that ISDE may never achieve the technical accomplishments if the necessary conditions in terms of budgets manpower etc are not satisfied Thus LSDE may have equipment but can not really use it Clearly what should happen is that US AID and BPPT arrive at a common perspective in which US AID facilitates that technical work at LSDE ill be initiated as soon as possible while BPPT becomes more conscious of potential but realistic shortcomings of unplanned development Continued discussion on this issue will be of considerable value to BPPT in particular as it relates to formulating a response to other donors interested in providing equipment for energy research LSDEs capability to absorb and effectively utilize such equipment is a key factor in formulating this response

-7shy

People The Weakest Link Plans for continued LSDE project development have been agreed to in principle This is reflected in Appendix D However it should be realized that formulation of plans is comparatively the easy part of the job These plans will have to be implemented by BPPT staff members assisted by expatriate staff Although this observation is trivial in nature it is considered key in the continued development of LSDE Making the plans does not insure successful compltion of laboratqiy development Thereal question that should be addressed is Will the staff assigned theto project be able to do the planned tasks In this regard continuous staff performance monitoring is a necessity In addition and when the need arises BPPT should be prepared to strengthen the LSDE project team by exploring utilization of staff members from deputy areas outside KKE Furthermore it is believed worthwile if US AID would provide advice to BPPT in this respect based on frequent and detailed monitoring of performance of the LSDE project team

Technical Assistance to BPPT Staff Based on close association with the ISDE project team it is concluded that BPPT staff members need technical assistance in virtually all aspects of LSDE project development as contained in Appendix D This assistance runs the entire gamut from development of information systems to planning specific technical projects to setting up operational training programs to procurement of equipment etc In this regard it is useful to continuously correlate two facts (1) the complexity of the LSDE project as discussed earlier and (2)the age and lack of experience of BPPT staff members assigned to the LSDE project Equally important to recognizing the need for broad based technical assistance is the form in which assistance is provided It is concluded unequivocally that the most useful form is day-to-day guidance in which BPPT staff is mentored In particular this requires that expatriate advisors shoulder the same tasks as the BPPT staff They become the mentors who jointly with the BPPT staff execute all activities identified in Appendix D

RECOMMENDATIONS

Because of the overriding iportance of maintaining current project momentum it is felt important to-restric recommendations to the succesful

8 shy

IV

icontinued LSDE project development That is recommendaions are related tc events that have taken place during late June and July 1986

Agreement between US AID and BPPT During the July 11 1986 meetingbetween US AID and BPPT progress was made towards reaching better understanding between BPPT and US AID regarding the project It is important that this understanding be forma3ized and that agreement on how to continue with the project be officially recorded as a milestone by itself Not only will such formalization enhance commitmnt to the project by both sides but it will help to formally establish agreed-to milestones It is believed that this will provide added impetus to both BPPT and US AID to achieve the milestones that were established

Communication with Dr Habibie Continued development of LSDE is by no means an easy task The task is complex for reasons discussed in the previous section However and in reality the task is even more complex because development of energy research requires within BPPT active cooperation between the various deputy areas An important initial step was made by the establishment of the Steering Committee In addition to this it will be required that the LSDE project team be strengthened with personnel from other deputy areas if and when the available personnel of MKE is not sufficient to undertake assigned jobs Similarly to move projects to LSDE ie those currently executed outside KE but which clearly belong within the scope of LSDE requires active cooperation thronghout BPPT The important aspect to realize is that work in the future LSDE is certainly not restricted to IME To put it in different words development of LSDE is a responsibility for the whole of BPPT It is for the above reasons that direction and advice be obtained from the chairman of BPP Teknologi It is fully expected that requestsfor such direction be well received The implication of the above is that Dr Habibie be appraised of the progress of the project on a regular basis This is particularly relevant in view of the planned official opening of the laboratory on April 1 1988 an event which should receive wide recognition It is recomended that at this point an official response toto Dr Habibies letter JS AID is most appropriate and should not be delayed Followed up by a meeting his may assure that attention on and support for the LSDE project is greatly

Lntensified

Day-to-Day Mentoring As earlier discussed plans frequently are ierely ideas In particularw-ith respect to continued development of the

-9 shy

project it will be necessary that BPPT staff be mentored on a day-to-do basis Clearly this has implications in terms of expatriate manpowe requirements and effort devoted to the project The implications of doing thi should be analyzed as soon as possible and where necessary contracts t obtain such intensive support should be formulated and signed as soon a possible The current project momentum will be severely affected if thes matters are not quickly taken care of A delay of even one month will directli impact the achievement of milestones discussed in Appendix D

Projiect Management In a complicated project such as the development o LSDE and with a fair number of expatriate advisors project management is a ke issue Strong and decisive leadership in such situation is a must It is il this role that BPPT will need a great deal of assistance from expatriatt advisors However this assistance should exceed the more traditional advisor3 consultants role In fact it is recommended that the management advisor taket explicit responsibility to help BPPT achieve the agreed upon milestones ane that work performance by the consultant be related to these particulaz achievements It is recommended that US AID assists BPPT in achieving a satisfactory relationship with its management advisor recognizing that tc achieve this may require drastic changes to the status quo

LSDE Priorities Lack of a well defined set of technical priorities for LSDE is considered to be a high priority problem in and by itself Although the masterplan establishes priorities their rationale is still weak In particular if BPPT would have to communicate its LSDE plans and priorities to prospective users andor donors it is felt that a well developed starting point for the discussion is still missing The link between ISDE projects and priorities and actual (present and future) needs in Indonesia has only been established in concept Establishing this link in specifics will requireonsiderable time However efforts to do so should start as soon as possible It is for this reason that one of the project milestones to be met in JulyAugust 1986 1s the effort to scope an industrial energy- use stiddy This

nths study should be focussed specifically on establishing priority user ndustries as well as other users and on specific energy problem areas or Lreas of opportunity in which LSDE could play a specific role Although the iroblem of setting research priorities for LSDE has been discussed many times t should be recognized that this problem does not disappear by itself It will equire some concentrated initial effort to become more knowledgeable regarding lossible solutions

- U - (7

3

Project Work Focus The development of LSDE so far can be characterized by a relatively high degree of conceptual thinking This is quite natural for this type of project However it is recomnended that from now on the work focus shifts to more specific issues In particular all efforts should be directed to assure the opening of the laboratory on April 1 1988 in a manner fully satisfactory to BPPT and US AID Overall the objective of the assistance effort supported by US AID should be to maintain current project momentum and to assure that EIPT is in the best possible take-off position to continue on its own once the loan period ends ie August 31 1989 In this regard and in full conformance with the project plan sumarized in Appendix D specific emphasis should be placed on strengthening the three weakest areas

o Ability to plan and set laboratory directioand priorities o Availability of trained staff o Abi lty to execute specific technical projects in a technically and

scientifically acceptable manner

US AID Support Finally and as the saying goes one sunny day does not make sumner continued and strong US AID support is a must for the project At present a considerable group of BPPT staff members is actively working on the project and expectations of success and work spirits are highHowever it should also be realized that the meeting on July 11 may not have resolved all problems between US AID and BPMT It is recommended that if there are remaining lingering doubts on the side of US AID they be resolved as soon as possible With every day passing project momentum is increasing and therefore any drastic change in commitment or direction would have increasingly more serious implications

3D-11-

APPENDIX A

sCOPE OF WORK

OF

BECHTEL sUPPORT SERVICES

FOR

DEVELomENTO LSDE

TECHrICAL SERVICES CRDE NO 4

SCHEDULE

ARTICLE I - TITLE

Puspiptek Energy Reserach Laboratory -Tecbnical -ssistance to LSDE

-ARTICLE 11 - OBJECTIVE

Bechtel services in support or LDamp are directed to cooperatewith Battelle in achieving the following

- Incorporation of projects related to charter mission andgoals of the CCCT Division and currently ongoing throughoutBPPT into LSDE

Identification and formulation of CCCT research projectsmost appropriate to LSDE in view of its mission and goals

Prioritization of CCCT Research projects

Close liaison between LSDE and other Indonesian energyrelated agencies to assure that research work within the CCCT Division satisfies real needs

Close liaison between LSDE and Indonesian industry to assurethat research work within the CCCT Division is applicable to and useful to Indonesian industry

-Acceleration of developing LSDE staff capability to preparethe annual operating plan for the CCCT Division

ARTICLE III - STATEMENT OF WORK

To assist in achieving the above objectives Bechtel shallundertake the following tasks Execution of these tasks will bezoordinated with the Battelle Project Manager in accordance with the guidance provided by the Master Plan

Task 1 Review LSDE Master Plan Contractor shall review theiSDEmaster plan in detail to determine basic direction of lahorashytory development in terms of mission goals organization etcSuggestions will be provided on the implementation of the Master Plan

Task 2 Analysis BPPT Projects Contractor shall make ananalysis and inventory of all current BPPT projects which intheir definition are closely related to the charter of theLSDECCCT Division An assessment of their usefulness to LSDEshall be made Where warranted specific recommendations shallbe made to Battelle and LSDE management on how to incorporate

~

3

these projects within the programr of workSpecific emphasis will be plIaced 7on for the CCCT Division

accelerating LSDEsof development by building upon results and process

accomplishments olcurrent projects Task 3 Review GOI Agency Work related to the CCCT DivisionContractor snall hold interviews and discussions with variousagencies in order G0Ito identify specific needsIncluded in the agencies

that LSDE can serve are the of andMinis try MinesPR Tambang Batubara Energy

Mineral PT Bukit Asam PLN Laboratory forDevelopment LIPI variousand universities Thesediscussions will also identify how these institutionsstaffs can contribute to research to

and theirbe undertaken within theLSDECCCT Division

Task 4 Industrial Use of CCCT Research Critical to LSDE isthe line between its research and =e use ofindustry this -research inA preliminary screening shall -be made as to the typeof existing companies in Indonesia that can benefit from the workdone in the CCCT Division as -well as the type of new companiesthat can be envisioned based on CCCT research In bothemphasis shall be casesplaced on a realistic assessmentlinkages of the type ofthat the CCCT Division should start pursuing immediately Task 5 Project Formulation and Prioritization Bechtel willwork with te Battelle team and shall develop recommendedcations to modifishyexisting projects and suggestions for new projects allbased on the results of Tasks 2 through 4 The important resultis not to achieve detail for each project but to arrive at clearlyunderstood definitions of

considering what these proj ects should achievethe LSDE mission LSDEs relationship to the work ofother GOI agencies and its relationship to Indonesian industry

Priorities will be recbmmended based on the criteria estabshylished in Masterthe Plan and those subsequenuly developed by theBattelleLSDE project team Task 6 Proiect PaDers The following project papers shallbe provided to USATD Lndonesia

nanagement as a tangible with copies to the BatteleLDEresult of the activities undertaken inthe tasks described above

a Prolect Paoer No -1 The results of Tasks 2 3 and 4shall biedocumenceT BPPT

i3n the form of an inventory of currentprojects related to the LSDECCCT Divisionlist an annotatedof LSDE research and technology application needs asseen by other GO agencies and a list of suggested technologydevelopment transfer activities of greatest benefit toIndonesian industry b Project Paver No 2 A paper shall be prepared recomshymending priorities among the projects identified for tohe Cr-T

A-24

Division The rationale for the selection shall alsoprovided be

c Project Paper No 3 A training planparticipation in all tasks for LSDE stafft shall be prepared forby USADIndonesia Approvalwith the advice of the BattelleLSDEproject mnamgers

staff will be Thi plan will detail how selected LSDEinvolved in all activities and trained in theskills necessary to conduct the same tasks on their own

Task 7 Advisory Services The Bechtel representative willact as a advisor to tne CCCT Division and assistManager and the Divisionstaff in their effort to develop firstoperating plan for the division This plan will the annual

guidelines supplied in the Master be based on thePlan and subsequent guidancesupplied by Battelle

activity as well and and the LSDE Director This is a trainingthe objective will toLSDE staff be help prepare theto conduct such an activity on their own The outputof this task will be a draft documentoperating plan for the CCCT

a prototype annualDivision to be used as a model forfuture revision of the plan Task 8 Assistance RegardinS Pro ects ProDosed By Othershe Bechree representative shll assistP --in- t_ m_ar zprojects proposed to it by third parties and other donors sothey become an thatintegral part of the coordinated LSDE planCdmment It is recognized that various tasks are dependent on a number of factors outside of the controlExamples of such factors of Bechtelare data availability availabilityof suitable LSDEBPPT staff logistiLcal problemsto timing and scheduling of meetings and with respectso on Bechtel willexert its best efforts to eliminatecooperation any such factors in closewith LSDE management and Battelle staffsubstantive success Theof executing each of thehow tasks will dependon well these factors can be eliminated during projectexecution

RTICLE IV - REPORTS a Five copies of all task reports and project papers shallbe provided to USAID by the Contractor

b The Contractor shall prepare a final report at the endthe program outlined above summarizing ofall activities and proshyviding recommendations This final report will be presentedin five (5) copies to USAID before the Contractor leavesIndonesia An additional ten (10) c4e- v-ill be providedBPPT

A-3

-5-

ARTICLE V - STAFFING SCHEDULING AND LIAISON

Bechtel will make Dr D P Lijesen available to conduct anddirect the various tasks of this scope of services All serviceswill be conducted within a period equivalent to 135 working days To cooperate with Bechtel in the execution of all tasks BPPTLSDE will make available on a full time basis three BPPT staffmembers Together with Dr tLijesenstaff willhese membersoperate as a special task force to help develop detailed projectplans project priorities and the first annual operating plan forthe CCCT Division

The task force will work directly for USAIDIndonesia butclose liaison will be maintained with others In particular thetask force will receive information from other deputy areas withinBPPT The task force will function as a mechanism to start theimplementation of the LSDE Master Plan

The work effort is shown below

Work DaysField Staff Chief of Party (Dr Dirk Lijesen) 135

Home Office Technical SupportSenior Engineer

Home Office AdministrativeBusiness Support 3216

Total

ARTICLE VI - RATIONSHIPS AND RESPONSIBILITIES

The contractor shall be responsible to the Mision DirectorUSAJakarta or his designee

Cooperating Coimtry Liaisoa Officials are Dr Harsono Wiryosushymarto Deputy Chairman for Technology Development and Dr LoloPanggabean Director PUSPIPTEK Energy Research Laboratory

AID Liaison officials0 Riordan are in USAIDJakarta Mr DesmondChief USAIDDES and in AIDW SampTEY Alan B Jacobs

ARTICLE VII- TERMOF PEFOR1WCE

The desired starting date is Janaury 13 1986 and theestimated completion date is September 30 1986

ARTICLE VIII - TOTAL OBLIGATED AMOUNT AND BUDGET

a Total Obligated Amount

The total amount obligated for the performance of this orderis $121975 The contractor shall not ezceed the total amount obligated

A-4 7

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

A-5 (6

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

enough attention by those who designed the project To understand this complexity three specific difficulties are identified (1) Conceptual difficulties (2)Difficulties associated with moving the project forward (3)Difficulties associated with the transition from energy research at BPPT to energy research at BPPT and LSDE Conceptual difficulties relate to the problem of articulating in specifics the research priorities to be persued at LSDE Thus in setting up LSDE it is extremely important to determine precisely what products (hardware and software) and-services LSDE will provide Since LSDE is intended to be application and user oriented it is inescapable that LSDE is a market driven organization Therefore it is of paramount importance that information is available to identify priority users and priority user problems Without such information it is difficult to properly set the direction for LSDE Even until today such information is not sufficiently available as it specifically relates to a detailed insight into the Indonesian needs that LSDE will have to serve

A project in which it is not entirely clear what the end point is is encumbered by arduous decision making complicated resolution of issues slow building of concensus etc because there is no clear roadmap The roadmap evolves as the project comes along To move such projectalong requires strong and decisive but flexible project management to literally steer the project along an uncertain course Decisions on deviations in direction are required frequently to achieve an acceptable endpoint Although for such projects the PERT technique can be helpful in focussing attention and effort it seldom is entirely adequate as contrasted to using PERT for managing construction of for example a complicated bridge or any other complicated but well understood logistical operation

In addition to the above difficulties the status quo existing at BPPT pro-rides an important difficulty associated with LSDE development There are numerous examles to illustrate this difficulty such as the most talented staff needed for the LSDE project -frequently is busywith other priority projects BPPT is an existing organization with existing systems which are not necessarily adequate for LSDE plans budgets and activitie3 at the future LSDE will to some degree infringe on existing responsibilities projects budget allocations etc In summary this transitional problem requires detailed insight into BPPT as an agency in order to come up with solutions that are acceptable by those currently in commnd

-6

US AID and BPPT Project Perspectives A lingering discrepancy between BPPT and US AID regarding their respective perspectives on the LSDE project has been the cause for much delay and friction Simply stated BPPT views the rapid development of technical programs and equipment as the highest priority In this view all other concerns such as institutionalizing the laboratory obtaining budgets having appropriate staff and management etc are valid concerns However they are of secondary nature Time will take care of these and one has to trust that in time satisfactory solutions for these concerns are developed In sumary BPPT is comfortable with donors providing hardware and initial program development From then on BPPT will take care of the rest US AID on the other hand and based on experience with similar projects in other countries is very concerned that all necessary conditions are met that will assure that US loan funds are utilized in the most efficient manner Thus in this view one needs to prevent at all cost that white elephants are created or that projects simply become equipment drops

Over the last couple of months significant progress has been made to bring the two perspectives closer together The possibility that US AID may not approve the procurement has been an effective katalyst in the discussion It should be noted however that there is merit in both perspectives and that BPPTs point of view is not necessarily irrelevant Ultimately the success of LSDE is based on technical accomplishments which depend on the ability of LSDE staff members to master technical problems using appropriate equipment Thus the focus on being able to work technical problems as soon as possible is quiteValid In this view one can spend far coo much time on socalled planihing and never get down to the actual technical problems US AIDs perspective is also valid in the sense that ISDE may never achieve the technical accomplishments if the necessary conditions in terms of budgets manpower etc are not satisfied Thus LSDE may have equipment but can not really use it Clearly what should happen is that US AID and BPPT arrive at a common perspective in which US AID facilitates that technical work at LSDE ill be initiated as soon as possible while BPPT becomes more conscious of potential but realistic shortcomings of unplanned development Continued discussion on this issue will be of considerable value to BPPT in particular as it relates to formulating a response to other donors interested in providing equipment for energy research LSDEs capability to absorb and effectively utilize such equipment is a key factor in formulating this response

-7shy

People The Weakest Link Plans for continued LSDE project development have been agreed to in principle This is reflected in Appendix D However it should be realized that formulation of plans is comparatively the easy part of the job These plans will have to be implemented by BPPT staff members assisted by expatriate staff Although this observation is trivial in nature it is considered key in the continued development of LSDE Making the plans does not insure successful compltion of laboratqiy development Thereal question that should be addressed is Will the staff assigned theto project be able to do the planned tasks In this regard continuous staff performance monitoring is a necessity In addition and when the need arises BPPT should be prepared to strengthen the LSDE project team by exploring utilization of staff members from deputy areas outside KKE Furthermore it is believed worthwile if US AID would provide advice to BPPT in this respect based on frequent and detailed monitoring of performance of the LSDE project team

Technical Assistance to BPPT Staff Based on close association with the ISDE project team it is concluded that BPPT staff members need technical assistance in virtually all aspects of LSDE project development as contained in Appendix D This assistance runs the entire gamut from development of information systems to planning specific technical projects to setting up operational training programs to procurement of equipment etc In this regard it is useful to continuously correlate two facts (1) the complexity of the LSDE project as discussed earlier and (2)the age and lack of experience of BPPT staff members assigned to the LSDE project Equally important to recognizing the need for broad based technical assistance is the form in which assistance is provided It is concluded unequivocally that the most useful form is day-to-day guidance in which BPPT staff is mentored In particular this requires that expatriate advisors shoulder the same tasks as the BPPT staff They become the mentors who jointly with the BPPT staff execute all activities identified in Appendix D

RECOMMENDATIONS

Because of the overriding iportance of maintaining current project momentum it is felt important to-restric recommendations to the succesful

8 shy

IV

icontinued LSDE project development That is recommendaions are related tc events that have taken place during late June and July 1986

Agreement between US AID and BPPT During the July 11 1986 meetingbetween US AID and BPPT progress was made towards reaching better understanding between BPPT and US AID regarding the project It is important that this understanding be forma3ized and that agreement on how to continue with the project be officially recorded as a milestone by itself Not only will such formalization enhance commitmnt to the project by both sides but it will help to formally establish agreed-to milestones It is believed that this will provide added impetus to both BPPT and US AID to achieve the milestones that were established

Communication with Dr Habibie Continued development of LSDE is by no means an easy task The task is complex for reasons discussed in the previous section However and in reality the task is even more complex because development of energy research requires within BPPT active cooperation between the various deputy areas An important initial step was made by the establishment of the Steering Committee In addition to this it will be required that the LSDE project team be strengthened with personnel from other deputy areas if and when the available personnel of MKE is not sufficient to undertake assigned jobs Similarly to move projects to LSDE ie those currently executed outside KE but which clearly belong within the scope of LSDE requires active cooperation thronghout BPPT The important aspect to realize is that work in the future LSDE is certainly not restricted to IME To put it in different words development of LSDE is a responsibility for the whole of BPPT It is for the above reasons that direction and advice be obtained from the chairman of BPP Teknologi It is fully expected that requestsfor such direction be well received The implication of the above is that Dr Habibie be appraised of the progress of the project on a regular basis This is particularly relevant in view of the planned official opening of the laboratory on April 1 1988 an event which should receive wide recognition It is recomended that at this point an official response toto Dr Habibies letter JS AID is most appropriate and should not be delayed Followed up by a meeting his may assure that attention on and support for the LSDE project is greatly

Lntensified

Day-to-Day Mentoring As earlier discussed plans frequently are ierely ideas In particularw-ith respect to continued development of the

-9 shy

project it will be necessary that BPPT staff be mentored on a day-to-do basis Clearly this has implications in terms of expatriate manpowe requirements and effort devoted to the project The implications of doing thi should be analyzed as soon as possible and where necessary contracts t obtain such intensive support should be formulated and signed as soon a possible The current project momentum will be severely affected if thes matters are not quickly taken care of A delay of even one month will directli impact the achievement of milestones discussed in Appendix D

Projiect Management In a complicated project such as the development o LSDE and with a fair number of expatriate advisors project management is a ke issue Strong and decisive leadership in such situation is a must It is il this role that BPPT will need a great deal of assistance from expatriatt advisors However this assistance should exceed the more traditional advisor3 consultants role In fact it is recommended that the management advisor taket explicit responsibility to help BPPT achieve the agreed upon milestones ane that work performance by the consultant be related to these particulaz achievements It is recommended that US AID assists BPPT in achieving a satisfactory relationship with its management advisor recognizing that tc achieve this may require drastic changes to the status quo

LSDE Priorities Lack of a well defined set of technical priorities for LSDE is considered to be a high priority problem in and by itself Although the masterplan establishes priorities their rationale is still weak In particular if BPPT would have to communicate its LSDE plans and priorities to prospective users andor donors it is felt that a well developed starting point for the discussion is still missing The link between ISDE projects and priorities and actual (present and future) needs in Indonesia has only been established in concept Establishing this link in specifics will requireonsiderable time However efforts to do so should start as soon as possible It is for this reason that one of the project milestones to be met in JulyAugust 1986 1s the effort to scope an industrial energy- use stiddy This

nths study should be focussed specifically on establishing priority user ndustries as well as other users and on specific energy problem areas or Lreas of opportunity in which LSDE could play a specific role Although the iroblem of setting research priorities for LSDE has been discussed many times t should be recognized that this problem does not disappear by itself It will equire some concentrated initial effort to become more knowledgeable regarding lossible solutions

- U - (7

3

Project Work Focus The development of LSDE so far can be characterized by a relatively high degree of conceptual thinking This is quite natural for this type of project However it is recomnended that from now on the work focus shifts to more specific issues In particular all efforts should be directed to assure the opening of the laboratory on April 1 1988 in a manner fully satisfactory to BPPT and US AID Overall the objective of the assistance effort supported by US AID should be to maintain current project momentum and to assure that EIPT is in the best possible take-off position to continue on its own once the loan period ends ie August 31 1989 In this regard and in full conformance with the project plan sumarized in Appendix D specific emphasis should be placed on strengthening the three weakest areas

o Ability to plan and set laboratory directioand priorities o Availability of trained staff o Abi lty to execute specific technical projects in a technically and

scientifically acceptable manner

US AID Support Finally and as the saying goes one sunny day does not make sumner continued and strong US AID support is a must for the project At present a considerable group of BPPT staff members is actively working on the project and expectations of success and work spirits are highHowever it should also be realized that the meeting on July 11 may not have resolved all problems between US AID and BPMT It is recommended that if there are remaining lingering doubts on the side of US AID they be resolved as soon as possible With every day passing project momentum is increasing and therefore any drastic change in commitment or direction would have increasingly more serious implications

3D-11-

APPENDIX A

sCOPE OF WORK

OF

BECHTEL sUPPORT SERVICES

FOR

DEVELomENTO LSDE

TECHrICAL SERVICES CRDE NO 4

SCHEDULE

ARTICLE I - TITLE

Puspiptek Energy Reserach Laboratory -Tecbnical -ssistance to LSDE

-ARTICLE 11 - OBJECTIVE

Bechtel services in support or LDamp are directed to cooperatewith Battelle in achieving the following

- Incorporation of projects related to charter mission andgoals of the CCCT Division and currently ongoing throughoutBPPT into LSDE

Identification and formulation of CCCT research projectsmost appropriate to LSDE in view of its mission and goals

Prioritization of CCCT Research projects

Close liaison between LSDE and other Indonesian energyrelated agencies to assure that research work within the CCCT Division satisfies real needs

Close liaison between LSDE and Indonesian industry to assurethat research work within the CCCT Division is applicable to and useful to Indonesian industry

-Acceleration of developing LSDE staff capability to preparethe annual operating plan for the CCCT Division

ARTICLE III - STATEMENT OF WORK

To assist in achieving the above objectives Bechtel shallundertake the following tasks Execution of these tasks will bezoordinated with the Battelle Project Manager in accordance with the guidance provided by the Master Plan

Task 1 Review LSDE Master Plan Contractor shall review theiSDEmaster plan in detail to determine basic direction of lahorashytory development in terms of mission goals organization etcSuggestions will be provided on the implementation of the Master Plan

Task 2 Analysis BPPT Projects Contractor shall make ananalysis and inventory of all current BPPT projects which intheir definition are closely related to the charter of theLSDECCCT Division An assessment of their usefulness to LSDEshall be made Where warranted specific recommendations shallbe made to Battelle and LSDE management on how to incorporate

~

3

these projects within the programr of workSpecific emphasis will be plIaced 7on for the CCCT Division

accelerating LSDEsof development by building upon results and process

accomplishments olcurrent projects Task 3 Review GOI Agency Work related to the CCCT DivisionContractor snall hold interviews and discussions with variousagencies in order G0Ito identify specific needsIncluded in the agencies

that LSDE can serve are the of andMinis try MinesPR Tambang Batubara Energy

Mineral PT Bukit Asam PLN Laboratory forDevelopment LIPI variousand universities Thesediscussions will also identify how these institutionsstaffs can contribute to research to

and theirbe undertaken within theLSDECCCT Division

Task 4 Industrial Use of CCCT Research Critical to LSDE isthe line between its research and =e use ofindustry this -research inA preliminary screening shall -be made as to the typeof existing companies in Indonesia that can benefit from the workdone in the CCCT Division as -well as the type of new companiesthat can be envisioned based on CCCT research In bothemphasis shall be casesplaced on a realistic assessmentlinkages of the type ofthat the CCCT Division should start pursuing immediately Task 5 Project Formulation and Prioritization Bechtel willwork with te Battelle team and shall develop recommendedcations to modifishyexisting projects and suggestions for new projects allbased on the results of Tasks 2 through 4 The important resultis not to achieve detail for each project but to arrive at clearlyunderstood definitions of

considering what these proj ects should achievethe LSDE mission LSDEs relationship to the work ofother GOI agencies and its relationship to Indonesian industry

Priorities will be recbmmended based on the criteria estabshylished in Masterthe Plan and those subsequenuly developed by theBattelleLSDE project team Task 6 Proiect PaDers The following project papers shallbe provided to USATD Lndonesia

nanagement as a tangible with copies to the BatteleLDEresult of the activities undertaken inthe tasks described above

a Prolect Paoer No -1 The results of Tasks 2 3 and 4shall biedocumenceT BPPT

i3n the form of an inventory of currentprojects related to the LSDECCCT Divisionlist an annotatedof LSDE research and technology application needs asseen by other GO agencies and a list of suggested technologydevelopment transfer activities of greatest benefit toIndonesian industry b Project Paver No 2 A paper shall be prepared recomshymending priorities among the projects identified for tohe Cr-T

A-24

Division The rationale for the selection shall alsoprovided be

c Project Paper No 3 A training planparticipation in all tasks for LSDE stafft shall be prepared forby USADIndonesia Approvalwith the advice of the BattelleLSDEproject mnamgers

staff will be Thi plan will detail how selected LSDEinvolved in all activities and trained in theskills necessary to conduct the same tasks on their own

Task 7 Advisory Services The Bechtel representative willact as a advisor to tne CCCT Division and assistManager and the Divisionstaff in their effort to develop firstoperating plan for the division This plan will the annual

guidelines supplied in the Master be based on thePlan and subsequent guidancesupplied by Battelle

activity as well and and the LSDE Director This is a trainingthe objective will toLSDE staff be help prepare theto conduct such an activity on their own The outputof this task will be a draft documentoperating plan for the CCCT

a prototype annualDivision to be used as a model forfuture revision of the plan Task 8 Assistance RegardinS Pro ects ProDosed By Othershe Bechree representative shll assistP --in- t_ m_ar zprojects proposed to it by third parties and other donors sothey become an thatintegral part of the coordinated LSDE planCdmment It is recognized that various tasks are dependent on a number of factors outside of the controlExamples of such factors of Bechtelare data availability availabilityof suitable LSDEBPPT staff logistiLcal problemsto timing and scheduling of meetings and with respectso on Bechtel willexert its best efforts to eliminatecooperation any such factors in closewith LSDE management and Battelle staffsubstantive success Theof executing each of thehow tasks will dependon well these factors can be eliminated during projectexecution

RTICLE IV - REPORTS a Five copies of all task reports and project papers shallbe provided to USAID by the Contractor

b The Contractor shall prepare a final report at the endthe program outlined above summarizing ofall activities and proshyviding recommendations This final report will be presentedin five (5) copies to USAID before the Contractor leavesIndonesia An additional ten (10) c4e- v-ill be providedBPPT

A-3

-5-

ARTICLE V - STAFFING SCHEDULING AND LIAISON

Bechtel will make Dr D P Lijesen available to conduct anddirect the various tasks of this scope of services All serviceswill be conducted within a period equivalent to 135 working days To cooperate with Bechtel in the execution of all tasks BPPTLSDE will make available on a full time basis three BPPT staffmembers Together with Dr tLijesenstaff willhese membersoperate as a special task force to help develop detailed projectplans project priorities and the first annual operating plan forthe CCCT Division

The task force will work directly for USAIDIndonesia butclose liaison will be maintained with others In particular thetask force will receive information from other deputy areas withinBPPT The task force will function as a mechanism to start theimplementation of the LSDE Master Plan

The work effort is shown below

Work DaysField Staff Chief of Party (Dr Dirk Lijesen) 135

Home Office Technical SupportSenior Engineer

Home Office AdministrativeBusiness Support 3216

Total

ARTICLE VI - RATIONSHIPS AND RESPONSIBILITIES

The contractor shall be responsible to the Mision DirectorUSAJakarta or his designee

Cooperating Coimtry Liaisoa Officials are Dr Harsono Wiryosushymarto Deputy Chairman for Technology Development and Dr LoloPanggabean Director PUSPIPTEK Energy Research Laboratory

AID Liaison officials0 Riordan are in USAIDJakarta Mr DesmondChief USAIDDES and in AIDW SampTEY Alan B Jacobs

ARTICLE VII- TERMOF PEFOR1WCE

The desired starting date is Janaury 13 1986 and theestimated completion date is September 30 1986

ARTICLE VIII - TOTAL OBLIGATED AMOUNT AND BUDGET

a Total Obligated Amount

The total amount obligated for the performance of this orderis $121975 The contractor shall not ezceed the total amount obligated

A-4 7

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

A-5 (6

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

US AID and BPPT Project Perspectives A lingering discrepancy between BPPT and US AID regarding their respective perspectives on the LSDE project has been the cause for much delay and friction Simply stated BPPT views the rapid development of technical programs and equipment as the highest priority In this view all other concerns such as institutionalizing the laboratory obtaining budgets having appropriate staff and management etc are valid concerns However they are of secondary nature Time will take care of these and one has to trust that in time satisfactory solutions for these concerns are developed In sumary BPPT is comfortable with donors providing hardware and initial program development From then on BPPT will take care of the rest US AID on the other hand and based on experience with similar projects in other countries is very concerned that all necessary conditions are met that will assure that US loan funds are utilized in the most efficient manner Thus in this view one needs to prevent at all cost that white elephants are created or that projects simply become equipment drops

Over the last couple of months significant progress has been made to bring the two perspectives closer together The possibility that US AID may not approve the procurement has been an effective katalyst in the discussion It should be noted however that there is merit in both perspectives and that BPPTs point of view is not necessarily irrelevant Ultimately the success of LSDE is based on technical accomplishments which depend on the ability of LSDE staff members to master technical problems using appropriate equipment Thus the focus on being able to work technical problems as soon as possible is quiteValid In this view one can spend far coo much time on socalled planihing and never get down to the actual technical problems US AIDs perspective is also valid in the sense that ISDE may never achieve the technical accomplishments if the necessary conditions in terms of budgets manpower etc are not satisfied Thus LSDE may have equipment but can not really use it Clearly what should happen is that US AID and BPPT arrive at a common perspective in which US AID facilitates that technical work at LSDE ill be initiated as soon as possible while BPPT becomes more conscious of potential but realistic shortcomings of unplanned development Continued discussion on this issue will be of considerable value to BPPT in particular as it relates to formulating a response to other donors interested in providing equipment for energy research LSDEs capability to absorb and effectively utilize such equipment is a key factor in formulating this response

-7shy

People The Weakest Link Plans for continued LSDE project development have been agreed to in principle This is reflected in Appendix D However it should be realized that formulation of plans is comparatively the easy part of the job These plans will have to be implemented by BPPT staff members assisted by expatriate staff Although this observation is trivial in nature it is considered key in the continued development of LSDE Making the plans does not insure successful compltion of laboratqiy development Thereal question that should be addressed is Will the staff assigned theto project be able to do the planned tasks In this regard continuous staff performance monitoring is a necessity In addition and when the need arises BPPT should be prepared to strengthen the LSDE project team by exploring utilization of staff members from deputy areas outside KKE Furthermore it is believed worthwile if US AID would provide advice to BPPT in this respect based on frequent and detailed monitoring of performance of the LSDE project team

Technical Assistance to BPPT Staff Based on close association with the ISDE project team it is concluded that BPPT staff members need technical assistance in virtually all aspects of LSDE project development as contained in Appendix D This assistance runs the entire gamut from development of information systems to planning specific technical projects to setting up operational training programs to procurement of equipment etc In this regard it is useful to continuously correlate two facts (1) the complexity of the LSDE project as discussed earlier and (2)the age and lack of experience of BPPT staff members assigned to the LSDE project Equally important to recognizing the need for broad based technical assistance is the form in which assistance is provided It is concluded unequivocally that the most useful form is day-to-day guidance in which BPPT staff is mentored In particular this requires that expatriate advisors shoulder the same tasks as the BPPT staff They become the mentors who jointly with the BPPT staff execute all activities identified in Appendix D

RECOMMENDATIONS

Because of the overriding iportance of maintaining current project momentum it is felt important to-restric recommendations to the succesful

8 shy

IV

icontinued LSDE project development That is recommendaions are related tc events that have taken place during late June and July 1986

Agreement between US AID and BPPT During the July 11 1986 meetingbetween US AID and BPPT progress was made towards reaching better understanding between BPPT and US AID regarding the project It is important that this understanding be forma3ized and that agreement on how to continue with the project be officially recorded as a milestone by itself Not only will such formalization enhance commitmnt to the project by both sides but it will help to formally establish agreed-to milestones It is believed that this will provide added impetus to both BPPT and US AID to achieve the milestones that were established

Communication with Dr Habibie Continued development of LSDE is by no means an easy task The task is complex for reasons discussed in the previous section However and in reality the task is even more complex because development of energy research requires within BPPT active cooperation between the various deputy areas An important initial step was made by the establishment of the Steering Committee In addition to this it will be required that the LSDE project team be strengthened with personnel from other deputy areas if and when the available personnel of MKE is not sufficient to undertake assigned jobs Similarly to move projects to LSDE ie those currently executed outside KE but which clearly belong within the scope of LSDE requires active cooperation thronghout BPPT The important aspect to realize is that work in the future LSDE is certainly not restricted to IME To put it in different words development of LSDE is a responsibility for the whole of BPPT It is for the above reasons that direction and advice be obtained from the chairman of BPP Teknologi It is fully expected that requestsfor such direction be well received The implication of the above is that Dr Habibie be appraised of the progress of the project on a regular basis This is particularly relevant in view of the planned official opening of the laboratory on April 1 1988 an event which should receive wide recognition It is recomended that at this point an official response toto Dr Habibies letter JS AID is most appropriate and should not be delayed Followed up by a meeting his may assure that attention on and support for the LSDE project is greatly

Lntensified

Day-to-Day Mentoring As earlier discussed plans frequently are ierely ideas In particularw-ith respect to continued development of the

-9 shy

project it will be necessary that BPPT staff be mentored on a day-to-do basis Clearly this has implications in terms of expatriate manpowe requirements and effort devoted to the project The implications of doing thi should be analyzed as soon as possible and where necessary contracts t obtain such intensive support should be formulated and signed as soon a possible The current project momentum will be severely affected if thes matters are not quickly taken care of A delay of even one month will directli impact the achievement of milestones discussed in Appendix D

Projiect Management In a complicated project such as the development o LSDE and with a fair number of expatriate advisors project management is a ke issue Strong and decisive leadership in such situation is a must It is il this role that BPPT will need a great deal of assistance from expatriatt advisors However this assistance should exceed the more traditional advisor3 consultants role In fact it is recommended that the management advisor taket explicit responsibility to help BPPT achieve the agreed upon milestones ane that work performance by the consultant be related to these particulaz achievements It is recommended that US AID assists BPPT in achieving a satisfactory relationship with its management advisor recognizing that tc achieve this may require drastic changes to the status quo

LSDE Priorities Lack of a well defined set of technical priorities for LSDE is considered to be a high priority problem in and by itself Although the masterplan establishes priorities their rationale is still weak In particular if BPPT would have to communicate its LSDE plans and priorities to prospective users andor donors it is felt that a well developed starting point for the discussion is still missing The link between ISDE projects and priorities and actual (present and future) needs in Indonesia has only been established in concept Establishing this link in specifics will requireonsiderable time However efforts to do so should start as soon as possible It is for this reason that one of the project milestones to be met in JulyAugust 1986 1s the effort to scope an industrial energy- use stiddy This

nths study should be focussed specifically on establishing priority user ndustries as well as other users and on specific energy problem areas or Lreas of opportunity in which LSDE could play a specific role Although the iroblem of setting research priorities for LSDE has been discussed many times t should be recognized that this problem does not disappear by itself It will equire some concentrated initial effort to become more knowledgeable regarding lossible solutions

- U - (7

3

Project Work Focus The development of LSDE so far can be characterized by a relatively high degree of conceptual thinking This is quite natural for this type of project However it is recomnended that from now on the work focus shifts to more specific issues In particular all efforts should be directed to assure the opening of the laboratory on April 1 1988 in a manner fully satisfactory to BPPT and US AID Overall the objective of the assistance effort supported by US AID should be to maintain current project momentum and to assure that EIPT is in the best possible take-off position to continue on its own once the loan period ends ie August 31 1989 In this regard and in full conformance with the project plan sumarized in Appendix D specific emphasis should be placed on strengthening the three weakest areas

o Ability to plan and set laboratory directioand priorities o Availability of trained staff o Abi lty to execute specific technical projects in a technically and

scientifically acceptable manner

US AID Support Finally and as the saying goes one sunny day does not make sumner continued and strong US AID support is a must for the project At present a considerable group of BPPT staff members is actively working on the project and expectations of success and work spirits are highHowever it should also be realized that the meeting on July 11 may not have resolved all problems between US AID and BPMT It is recommended that if there are remaining lingering doubts on the side of US AID they be resolved as soon as possible With every day passing project momentum is increasing and therefore any drastic change in commitment or direction would have increasingly more serious implications

3D-11-

APPENDIX A

sCOPE OF WORK

OF

BECHTEL sUPPORT SERVICES

FOR

DEVELomENTO LSDE

TECHrICAL SERVICES CRDE NO 4

SCHEDULE

ARTICLE I - TITLE

Puspiptek Energy Reserach Laboratory -Tecbnical -ssistance to LSDE

-ARTICLE 11 - OBJECTIVE

Bechtel services in support or LDamp are directed to cooperatewith Battelle in achieving the following

- Incorporation of projects related to charter mission andgoals of the CCCT Division and currently ongoing throughoutBPPT into LSDE

Identification and formulation of CCCT research projectsmost appropriate to LSDE in view of its mission and goals

Prioritization of CCCT Research projects

Close liaison between LSDE and other Indonesian energyrelated agencies to assure that research work within the CCCT Division satisfies real needs

Close liaison between LSDE and Indonesian industry to assurethat research work within the CCCT Division is applicable to and useful to Indonesian industry

-Acceleration of developing LSDE staff capability to preparethe annual operating plan for the CCCT Division

ARTICLE III - STATEMENT OF WORK

To assist in achieving the above objectives Bechtel shallundertake the following tasks Execution of these tasks will bezoordinated with the Battelle Project Manager in accordance with the guidance provided by the Master Plan

Task 1 Review LSDE Master Plan Contractor shall review theiSDEmaster plan in detail to determine basic direction of lahorashytory development in terms of mission goals organization etcSuggestions will be provided on the implementation of the Master Plan

Task 2 Analysis BPPT Projects Contractor shall make ananalysis and inventory of all current BPPT projects which intheir definition are closely related to the charter of theLSDECCCT Division An assessment of their usefulness to LSDEshall be made Where warranted specific recommendations shallbe made to Battelle and LSDE management on how to incorporate

~

3

these projects within the programr of workSpecific emphasis will be plIaced 7on for the CCCT Division

accelerating LSDEsof development by building upon results and process

accomplishments olcurrent projects Task 3 Review GOI Agency Work related to the CCCT DivisionContractor snall hold interviews and discussions with variousagencies in order G0Ito identify specific needsIncluded in the agencies

that LSDE can serve are the of andMinis try MinesPR Tambang Batubara Energy

Mineral PT Bukit Asam PLN Laboratory forDevelopment LIPI variousand universities Thesediscussions will also identify how these institutionsstaffs can contribute to research to

and theirbe undertaken within theLSDECCCT Division

Task 4 Industrial Use of CCCT Research Critical to LSDE isthe line between its research and =e use ofindustry this -research inA preliminary screening shall -be made as to the typeof existing companies in Indonesia that can benefit from the workdone in the CCCT Division as -well as the type of new companiesthat can be envisioned based on CCCT research In bothemphasis shall be casesplaced on a realistic assessmentlinkages of the type ofthat the CCCT Division should start pursuing immediately Task 5 Project Formulation and Prioritization Bechtel willwork with te Battelle team and shall develop recommendedcations to modifishyexisting projects and suggestions for new projects allbased on the results of Tasks 2 through 4 The important resultis not to achieve detail for each project but to arrive at clearlyunderstood definitions of

considering what these proj ects should achievethe LSDE mission LSDEs relationship to the work ofother GOI agencies and its relationship to Indonesian industry

Priorities will be recbmmended based on the criteria estabshylished in Masterthe Plan and those subsequenuly developed by theBattelleLSDE project team Task 6 Proiect PaDers The following project papers shallbe provided to USATD Lndonesia

nanagement as a tangible with copies to the BatteleLDEresult of the activities undertaken inthe tasks described above

a Prolect Paoer No -1 The results of Tasks 2 3 and 4shall biedocumenceT BPPT

i3n the form of an inventory of currentprojects related to the LSDECCCT Divisionlist an annotatedof LSDE research and technology application needs asseen by other GO agencies and a list of suggested technologydevelopment transfer activities of greatest benefit toIndonesian industry b Project Paver No 2 A paper shall be prepared recomshymending priorities among the projects identified for tohe Cr-T

A-24

Division The rationale for the selection shall alsoprovided be

c Project Paper No 3 A training planparticipation in all tasks for LSDE stafft shall be prepared forby USADIndonesia Approvalwith the advice of the BattelleLSDEproject mnamgers

staff will be Thi plan will detail how selected LSDEinvolved in all activities and trained in theskills necessary to conduct the same tasks on their own

Task 7 Advisory Services The Bechtel representative willact as a advisor to tne CCCT Division and assistManager and the Divisionstaff in their effort to develop firstoperating plan for the division This plan will the annual

guidelines supplied in the Master be based on thePlan and subsequent guidancesupplied by Battelle

activity as well and and the LSDE Director This is a trainingthe objective will toLSDE staff be help prepare theto conduct such an activity on their own The outputof this task will be a draft documentoperating plan for the CCCT

a prototype annualDivision to be used as a model forfuture revision of the plan Task 8 Assistance RegardinS Pro ects ProDosed By Othershe Bechree representative shll assistP --in- t_ m_ar zprojects proposed to it by third parties and other donors sothey become an thatintegral part of the coordinated LSDE planCdmment It is recognized that various tasks are dependent on a number of factors outside of the controlExamples of such factors of Bechtelare data availability availabilityof suitable LSDEBPPT staff logistiLcal problemsto timing and scheduling of meetings and with respectso on Bechtel willexert its best efforts to eliminatecooperation any such factors in closewith LSDE management and Battelle staffsubstantive success Theof executing each of thehow tasks will dependon well these factors can be eliminated during projectexecution

RTICLE IV - REPORTS a Five copies of all task reports and project papers shallbe provided to USAID by the Contractor

b The Contractor shall prepare a final report at the endthe program outlined above summarizing ofall activities and proshyviding recommendations This final report will be presentedin five (5) copies to USAID before the Contractor leavesIndonesia An additional ten (10) c4e- v-ill be providedBPPT

A-3

-5-

ARTICLE V - STAFFING SCHEDULING AND LIAISON

Bechtel will make Dr D P Lijesen available to conduct anddirect the various tasks of this scope of services All serviceswill be conducted within a period equivalent to 135 working days To cooperate with Bechtel in the execution of all tasks BPPTLSDE will make available on a full time basis three BPPT staffmembers Together with Dr tLijesenstaff willhese membersoperate as a special task force to help develop detailed projectplans project priorities and the first annual operating plan forthe CCCT Division

The task force will work directly for USAIDIndonesia butclose liaison will be maintained with others In particular thetask force will receive information from other deputy areas withinBPPT The task force will function as a mechanism to start theimplementation of the LSDE Master Plan

The work effort is shown below

Work DaysField Staff Chief of Party (Dr Dirk Lijesen) 135

Home Office Technical SupportSenior Engineer

Home Office AdministrativeBusiness Support 3216

Total

ARTICLE VI - RATIONSHIPS AND RESPONSIBILITIES

The contractor shall be responsible to the Mision DirectorUSAJakarta or his designee

Cooperating Coimtry Liaisoa Officials are Dr Harsono Wiryosushymarto Deputy Chairman for Technology Development and Dr LoloPanggabean Director PUSPIPTEK Energy Research Laboratory

AID Liaison officials0 Riordan are in USAIDJakarta Mr DesmondChief USAIDDES and in AIDW SampTEY Alan B Jacobs

ARTICLE VII- TERMOF PEFOR1WCE

The desired starting date is Janaury 13 1986 and theestimated completion date is September 30 1986

ARTICLE VIII - TOTAL OBLIGATED AMOUNT AND BUDGET

a Total Obligated Amount

The total amount obligated for the performance of this orderis $121975 The contractor shall not ezceed the total amount obligated

A-4 7

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

A-5 (6

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

People The Weakest Link Plans for continued LSDE project development have been agreed to in principle This is reflected in Appendix D However it should be realized that formulation of plans is comparatively the easy part of the job These plans will have to be implemented by BPPT staff members assisted by expatriate staff Although this observation is trivial in nature it is considered key in the continued development of LSDE Making the plans does not insure successful compltion of laboratqiy development Thereal question that should be addressed is Will the staff assigned theto project be able to do the planned tasks In this regard continuous staff performance monitoring is a necessity In addition and when the need arises BPPT should be prepared to strengthen the LSDE project team by exploring utilization of staff members from deputy areas outside KKE Furthermore it is believed worthwile if US AID would provide advice to BPPT in this respect based on frequent and detailed monitoring of performance of the LSDE project team

Technical Assistance to BPPT Staff Based on close association with the ISDE project team it is concluded that BPPT staff members need technical assistance in virtually all aspects of LSDE project development as contained in Appendix D This assistance runs the entire gamut from development of information systems to planning specific technical projects to setting up operational training programs to procurement of equipment etc In this regard it is useful to continuously correlate two facts (1) the complexity of the LSDE project as discussed earlier and (2)the age and lack of experience of BPPT staff members assigned to the LSDE project Equally important to recognizing the need for broad based technical assistance is the form in which assistance is provided It is concluded unequivocally that the most useful form is day-to-day guidance in which BPPT staff is mentored In particular this requires that expatriate advisors shoulder the same tasks as the BPPT staff They become the mentors who jointly with the BPPT staff execute all activities identified in Appendix D

RECOMMENDATIONS

Because of the overriding iportance of maintaining current project momentum it is felt important to-restric recommendations to the succesful

8 shy

IV

icontinued LSDE project development That is recommendaions are related tc events that have taken place during late June and July 1986

Agreement between US AID and BPPT During the July 11 1986 meetingbetween US AID and BPPT progress was made towards reaching better understanding between BPPT and US AID regarding the project It is important that this understanding be forma3ized and that agreement on how to continue with the project be officially recorded as a milestone by itself Not only will such formalization enhance commitmnt to the project by both sides but it will help to formally establish agreed-to milestones It is believed that this will provide added impetus to both BPPT and US AID to achieve the milestones that were established

Communication with Dr Habibie Continued development of LSDE is by no means an easy task The task is complex for reasons discussed in the previous section However and in reality the task is even more complex because development of energy research requires within BPPT active cooperation between the various deputy areas An important initial step was made by the establishment of the Steering Committee In addition to this it will be required that the LSDE project team be strengthened with personnel from other deputy areas if and when the available personnel of MKE is not sufficient to undertake assigned jobs Similarly to move projects to LSDE ie those currently executed outside KE but which clearly belong within the scope of LSDE requires active cooperation thronghout BPPT The important aspect to realize is that work in the future LSDE is certainly not restricted to IME To put it in different words development of LSDE is a responsibility for the whole of BPPT It is for the above reasons that direction and advice be obtained from the chairman of BPP Teknologi It is fully expected that requestsfor such direction be well received The implication of the above is that Dr Habibie be appraised of the progress of the project on a regular basis This is particularly relevant in view of the planned official opening of the laboratory on April 1 1988 an event which should receive wide recognition It is recomended that at this point an official response toto Dr Habibies letter JS AID is most appropriate and should not be delayed Followed up by a meeting his may assure that attention on and support for the LSDE project is greatly

Lntensified

Day-to-Day Mentoring As earlier discussed plans frequently are ierely ideas In particularw-ith respect to continued development of the

-9 shy

project it will be necessary that BPPT staff be mentored on a day-to-do basis Clearly this has implications in terms of expatriate manpowe requirements and effort devoted to the project The implications of doing thi should be analyzed as soon as possible and where necessary contracts t obtain such intensive support should be formulated and signed as soon a possible The current project momentum will be severely affected if thes matters are not quickly taken care of A delay of even one month will directli impact the achievement of milestones discussed in Appendix D

Projiect Management In a complicated project such as the development o LSDE and with a fair number of expatriate advisors project management is a ke issue Strong and decisive leadership in such situation is a must It is il this role that BPPT will need a great deal of assistance from expatriatt advisors However this assistance should exceed the more traditional advisor3 consultants role In fact it is recommended that the management advisor taket explicit responsibility to help BPPT achieve the agreed upon milestones ane that work performance by the consultant be related to these particulaz achievements It is recommended that US AID assists BPPT in achieving a satisfactory relationship with its management advisor recognizing that tc achieve this may require drastic changes to the status quo

LSDE Priorities Lack of a well defined set of technical priorities for LSDE is considered to be a high priority problem in and by itself Although the masterplan establishes priorities their rationale is still weak In particular if BPPT would have to communicate its LSDE plans and priorities to prospective users andor donors it is felt that a well developed starting point for the discussion is still missing The link between ISDE projects and priorities and actual (present and future) needs in Indonesia has only been established in concept Establishing this link in specifics will requireonsiderable time However efforts to do so should start as soon as possible It is for this reason that one of the project milestones to be met in JulyAugust 1986 1s the effort to scope an industrial energy- use stiddy This

nths study should be focussed specifically on establishing priority user ndustries as well as other users and on specific energy problem areas or Lreas of opportunity in which LSDE could play a specific role Although the iroblem of setting research priorities for LSDE has been discussed many times t should be recognized that this problem does not disappear by itself It will equire some concentrated initial effort to become more knowledgeable regarding lossible solutions

- U - (7

3

Project Work Focus The development of LSDE so far can be characterized by a relatively high degree of conceptual thinking This is quite natural for this type of project However it is recomnended that from now on the work focus shifts to more specific issues In particular all efforts should be directed to assure the opening of the laboratory on April 1 1988 in a manner fully satisfactory to BPPT and US AID Overall the objective of the assistance effort supported by US AID should be to maintain current project momentum and to assure that EIPT is in the best possible take-off position to continue on its own once the loan period ends ie August 31 1989 In this regard and in full conformance with the project plan sumarized in Appendix D specific emphasis should be placed on strengthening the three weakest areas

o Ability to plan and set laboratory directioand priorities o Availability of trained staff o Abi lty to execute specific technical projects in a technically and

scientifically acceptable manner

US AID Support Finally and as the saying goes one sunny day does not make sumner continued and strong US AID support is a must for the project At present a considerable group of BPPT staff members is actively working on the project and expectations of success and work spirits are highHowever it should also be realized that the meeting on July 11 may not have resolved all problems between US AID and BPMT It is recommended that if there are remaining lingering doubts on the side of US AID they be resolved as soon as possible With every day passing project momentum is increasing and therefore any drastic change in commitment or direction would have increasingly more serious implications

3D-11-

APPENDIX A

sCOPE OF WORK

OF

BECHTEL sUPPORT SERVICES

FOR

DEVELomENTO LSDE

TECHrICAL SERVICES CRDE NO 4

SCHEDULE

ARTICLE I - TITLE

Puspiptek Energy Reserach Laboratory -Tecbnical -ssistance to LSDE

-ARTICLE 11 - OBJECTIVE

Bechtel services in support or LDamp are directed to cooperatewith Battelle in achieving the following

- Incorporation of projects related to charter mission andgoals of the CCCT Division and currently ongoing throughoutBPPT into LSDE

Identification and formulation of CCCT research projectsmost appropriate to LSDE in view of its mission and goals

Prioritization of CCCT Research projects

Close liaison between LSDE and other Indonesian energyrelated agencies to assure that research work within the CCCT Division satisfies real needs

Close liaison between LSDE and Indonesian industry to assurethat research work within the CCCT Division is applicable to and useful to Indonesian industry

-Acceleration of developing LSDE staff capability to preparethe annual operating plan for the CCCT Division

ARTICLE III - STATEMENT OF WORK

To assist in achieving the above objectives Bechtel shallundertake the following tasks Execution of these tasks will bezoordinated with the Battelle Project Manager in accordance with the guidance provided by the Master Plan

Task 1 Review LSDE Master Plan Contractor shall review theiSDEmaster plan in detail to determine basic direction of lahorashytory development in terms of mission goals organization etcSuggestions will be provided on the implementation of the Master Plan

Task 2 Analysis BPPT Projects Contractor shall make ananalysis and inventory of all current BPPT projects which intheir definition are closely related to the charter of theLSDECCCT Division An assessment of their usefulness to LSDEshall be made Where warranted specific recommendations shallbe made to Battelle and LSDE management on how to incorporate

~

3

these projects within the programr of workSpecific emphasis will be plIaced 7on for the CCCT Division

accelerating LSDEsof development by building upon results and process

accomplishments olcurrent projects Task 3 Review GOI Agency Work related to the CCCT DivisionContractor snall hold interviews and discussions with variousagencies in order G0Ito identify specific needsIncluded in the agencies

that LSDE can serve are the of andMinis try MinesPR Tambang Batubara Energy

Mineral PT Bukit Asam PLN Laboratory forDevelopment LIPI variousand universities Thesediscussions will also identify how these institutionsstaffs can contribute to research to

and theirbe undertaken within theLSDECCCT Division

Task 4 Industrial Use of CCCT Research Critical to LSDE isthe line between its research and =e use ofindustry this -research inA preliminary screening shall -be made as to the typeof existing companies in Indonesia that can benefit from the workdone in the CCCT Division as -well as the type of new companiesthat can be envisioned based on CCCT research In bothemphasis shall be casesplaced on a realistic assessmentlinkages of the type ofthat the CCCT Division should start pursuing immediately Task 5 Project Formulation and Prioritization Bechtel willwork with te Battelle team and shall develop recommendedcations to modifishyexisting projects and suggestions for new projects allbased on the results of Tasks 2 through 4 The important resultis not to achieve detail for each project but to arrive at clearlyunderstood definitions of

considering what these proj ects should achievethe LSDE mission LSDEs relationship to the work ofother GOI agencies and its relationship to Indonesian industry

Priorities will be recbmmended based on the criteria estabshylished in Masterthe Plan and those subsequenuly developed by theBattelleLSDE project team Task 6 Proiect PaDers The following project papers shallbe provided to USATD Lndonesia

nanagement as a tangible with copies to the BatteleLDEresult of the activities undertaken inthe tasks described above

a Prolect Paoer No -1 The results of Tasks 2 3 and 4shall biedocumenceT BPPT

i3n the form of an inventory of currentprojects related to the LSDECCCT Divisionlist an annotatedof LSDE research and technology application needs asseen by other GO agencies and a list of suggested technologydevelopment transfer activities of greatest benefit toIndonesian industry b Project Paver No 2 A paper shall be prepared recomshymending priorities among the projects identified for tohe Cr-T

A-24

Division The rationale for the selection shall alsoprovided be

c Project Paper No 3 A training planparticipation in all tasks for LSDE stafft shall be prepared forby USADIndonesia Approvalwith the advice of the BattelleLSDEproject mnamgers

staff will be Thi plan will detail how selected LSDEinvolved in all activities and trained in theskills necessary to conduct the same tasks on their own

Task 7 Advisory Services The Bechtel representative willact as a advisor to tne CCCT Division and assistManager and the Divisionstaff in their effort to develop firstoperating plan for the division This plan will the annual

guidelines supplied in the Master be based on thePlan and subsequent guidancesupplied by Battelle

activity as well and and the LSDE Director This is a trainingthe objective will toLSDE staff be help prepare theto conduct such an activity on their own The outputof this task will be a draft documentoperating plan for the CCCT

a prototype annualDivision to be used as a model forfuture revision of the plan Task 8 Assistance RegardinS Pro ects ProDosed By Othershe Bechree representative shll assistP --in- t_ m_ar zprojects proposed to it by third parties and other donors sothey become an thatintegral part of the coordinated LSDE planCdmment It is recognized that various tasks are dependent on a number of factors outside of the controlExamples of such factors of Bechtelare data availability availabilityof suitable LSDEBPPT staff logistiLcal problemsto timing and scheduling of meetings and with respectso on Bechtel willexert its best efforts to eliminatecooperation any such factors in closewith LSDE management and Battelle staffsubstantive success Theof executing each of thehow tasks will dependon well these factors can be eliminated during projectexecution

RTICLE IV - REPORTS a Five copies of all task reports and project papers shallbe provided to USAID by the Contractor

b The Contractor shall prepare a final report at the endthe program outlined above summarizing ofall activities and proshyviding recommendations This final report will be presentedin five (5) copies to USAID before the Contractor leavesIndonesia An additional ten (10) c4e- v-ill be providedBPPT

A-3

-5-

ARTICLE V - STAFFING SCHEDULING AND LIAISON

Bechtel will make Dr D P Lijesen available to conduct anddirect the various tasks of this scope of services All serviceswill be conducted within a period equivalent to 135 working days To cooperate with Bechtel in the execution of all tasks BPPTLSDE will make available on a full time basis three BPPT staffmembers Together with Dr tLijesenstaff willhese membersoperate as a special task force to help develop detailed projectplans project priorities and the first annual operating plan forthe CCCT Division

The task force will work directly for USAIDIndonesia butclose liaison will be maintained with others In particular thetask force will receive information from other deputy areas withinBPPT The task force will function as a mechanism to start theimplementation of the LSDE Master Plan

The work effort is shown below

Work DaysField Staff Chief of Party (Dr Dirk Lijesen) 135

Home Office Technical SupportSenior Engineer

Home Office AdministrativeBusiness Support 3216

Total

ARTICLE VI - RATIONSHIPS AND RESPONSIBILITIES

The contractor shall be responsible to the Mision DirectorUSAJakarta or his designee

Cooperating Coimtry Liaisoa Officials are Dr Harsono Wiryosushymarto Deputy Chairman for Technology Development and Dr LoloPanggabean Director PUSPIPTEK Energy Research Laboratory

AID Liaison officials0 Riordan are in USAIDJakarta Mr DesmondChief USAIDDES and in AIDW SampTEY Alan B Jacobs

ARTICLE VII- TERMOF PEFOR1WCE

The desired starting date is Janaury 13 1986 and theestimated completion date is September 30 1986

ARTICLE VIII - TOTAL OBLIGATED AMOUNT AND BUDGET

a Total Obligated Amount

The total amount obligated for the performance of this orderis $121975 The contractor shall not ezceed the total amount obligated

A-4 7

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

A-5 (6

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

icontinued LSDE project development That is recommendaions are related tc events that have taken place during late June and July 1986

Agreement between US AID and BPPT During the July 11 1986 meetingbetween US AID and BPPT progress was made towards reaching better understanding between BPPT and US AID regarding the project It is important that this understanding be forma3ized and that agreement on how to continue with the project be officially recorded as a milestone by itself Not only will such formalization enhance commitmnt to the project by both sides but it will help to formally establish agreed-to milestones It is believed that this will provide added impetus to both BPPT and US AID to achieve the milestones that were established

Communication with Dr Habibie Continued development of LSDE is by no means an easy task The task is complex for reasons discussed in the previous section However and in reality the task is even more complex because development of energy research requires within BPPT active cooperation between the various deputy areas An important initial step was made by the establishment of the Steering Committee In addition to this it will be required that the LSDE project team be strengthened with personnel from other deputy areas if and when the available personnel of MKE is not sufficient to undertake assigned jobs Similarly to move projects to LSDE ie those currently executed outside KE but which clearly belong within the scope of LSDE requires active cooperation thronghout BPPT The important aspect to realize is that work in the future LSDE is certainly not restricted to IME To put it in different words development of LSDE is a responsibility for the whole of BPPT It is for the above reasons that direction and advice be obtained from the chairman of BPP Teknologi It is fully expected that requestsfor such direction be well received The implication of the above is that Dr Habibie be appraised of the progress of the project on a regular basis This is particularly relevant in view of the planned official opening of the laboratory on April 1 1988 an event which should receive wide recognition It is recomended that at this point an official response toto Dr Habibies letter JS AID is most appropriate and should not be delayed Followed up by a meeting his may assure that attention on and support for the LSDE project is greatly

Lntensified

Day-to-Day Mentoring As earlier discussed plans frequently are ierely ideas In particularw-ith respect to continued development of the

-9 shy

project it will be necessary that BPPT staff be mentored on a day-to-do basis Clearly this has implications in terms of expatriate manpowe requirements and effort devoted to the project The implications of doing thi should be analyzed as soon as possible and where necessary contracts t obtain such intensive support should be formulated and signed as soon a possible The current project momentum will be severely affected if thes matters are not quickly taken care of A delay of even one month will directli impact the achievement of milestones discussed in Appendix D

Projiect Management In a complicated project such as the development o LSDE and with a fair number of expatriate advisors project management is a ke issue Strong and decisive leadership in such situation is a must It is il this role that BPPT will need a great deal of assistance from expatriatt advisors However this assistance should exceed the more traditional advisor3 consultants role In fact it is recommended that the management advisor taket explicit responsibility to help BPPT achieve the agreed upon milestones ane that work performance by the consultant be related to these particulaz achievements It is recommended that US AID assists BPPT in achieving a satisfactory relationship with its management advisor recognizing that tc achieve this may require drastic changes to the status quo

LSDE Priorities Lack of a well defined set of technical priorities for LSDE is considered to be a high priority problem in and by itself Although the masterplan establishes priorities their rationale is still weak In particular if BPPT would have to communicate its LSDE plans and priorities to prospective users andor donors it is felt that a well developed starting point for the discussion is still missing The link between ISDE projects and priorities and actual (present and future) needs in Indonesia has only been established in concept Establishing this link in specifics will requireonsiderable time However efforts to do so should start as soon as possible It is for this reason that one of the project milestones to be met in JulyAugust 1986 1s the effort to scope an industrial energy- use stiddy This

nths study should be focussed specifically on establishing priority user ndustries as well as other users and on specific energy problem areas or Lreas of opportunity in which LSDE could play a specific role Although the iroblem of setting research priorities for LSDE has been discussed many times t should be recognized that this problem does not disappear by itself It will equire some concentrated initial effort to become more knowledgeable regarding lossible solutions

- U - (7

3

Project Work Focus The development of LSDE so far can be characterized by a relatively high degree of conceptual thinking This is quite natural for this type of project However it is recomnended that from now on the work focus shifts to more specific issues In particular all efforts should be directed to assure the opening of the laboratory on April 1 1988 in a manner fully satisfactory to BPPT and US AID Overall the objective of the assistance effort supported by US AID should be to maintain current project momentum and to assure that EIPT is in the best possible take-off position to continue on its own once the loan period ends ie August 31 1989 In this regard and in full conformance with the project plan sumarized in Appendix D specific emphasis should be placed on strengthening the three weakest areas

o Ability to plan and set laboratory directioand priorities o Availability of trained staff o Abi lty to execute specific technical projects in a technically and

scientifically acceptable manner

US AID Support Finally and as the saying goes one sunny day does not make sumner continued and strong US AID support is a must for the project At present a considerable group of BPPT staff members is actively working on the project and expectations of success and work spirits are highHowever it should also be realized that the meeting on July 11 may not have resolved all problems between US AID and BPMT It is recommended that if there are remaining lingering doubts on the side of US AID they be resolved as soon as possible With every day passing project momentum is increasing and therefore any drastic change in commitment or direction would have increasingly more serious implications

3D-11-

APPENDIX A

sCOPE OF WORK

OF

BECHTEL sUPPORT SERVICES

FOR

DEVELomENTO LSDE

TECHrICAL SERVICES CRDE NO 4

SCHEDULE

ARTICLE I - TITLE

Puspiptek Energy Reserach Laboratory -Tecbnical -ssistance to LSDE

-ARTICLE 11 - OBJECTIVE

Bechtel services in support or LDamp are directed to cooperatewith Battelle in achieving the following

- Incorporation of projects related to charter mission andgoals of the CCCT Division and currently ongoing throughoutBPPT into LSDE

Identification and formulation of CCCT research projectsmost appropriate to LSDE in view of its mission and goals

Prioritization of CCCT Research projects

Close liaison between LSDE and other Indonesian energyrelated agencies to assure that research work within the CCCT Division satisfies real needs

Close liaison between LSDE and Indonesian industry to assurethat research work within the CCCT Division is applicable to and useful to Indonesian industry

-Acceleration of developing LSDE staff capability to preparethe annual operating plan for the CCCT Division

ARTICLE III - STATEMENT OF WORK

To assist in achieving the above objectives Bechtel shallundertake the following tasks Execution of these tasks will bezoordinated with the Battelle Project Manager in accordance with the guidance provided by the Master Plan

Task 1 Review LSDE Master Plan Contractor shall review theiSDEmaster plan in detail to determine basic direction of lahorashytory development in terms of mission goals organization etcSuggestions will be provided on the implementation of the Master Plan

Task 2 Analysis BPPT Projects Contractor shall make ananalysis and inventory of all current BPPT projects which intheir definition are closely related to the charter of theLSDECCCT Division An assessment of their usefulness to LSDEshall be made Where warranted specific recommendations shallbe made to Battelle and LSDE management on how to incorporate

~

3

these projects within the programr of workSpecific emphasis will be plIaced 7on for the CCCT Division

accelerating LSDEsof development by building upon results and process

accomplishments olcurrent projects Task 3 Review GOI Agency Work related to the CCCT DivisionContractor snall hold interviews and discussions with variousagencies in order G0Ito identify specific needsIncluded in the agencies

that LSDE can serve are the of andMinis try MinesPR Tambang Batubara Energy

Mineral PT Bukit Asam PLN Laboratory forDevelopment LIPI variousand universities Thesediscussions will also identify how these institutionsstaffs can contribute to research to

and theirbe undertaken within theLSDECCCT Division

Task 4 Industrial Use of CCCT Research Critical to LSDE isthe line between its research and =e use ofindustry this -research inA preliminary screening shall -be made as to the typeof existing companies in Indonesia that can benefit from the workdone in the CCCT Division as -well as the type of new companiesthat can be envisioned based on CCCT research In bothemphasis shall be casesplaced on a realistic assessmentlinkages of the type ofthat the CCCT Division should start pursuing immediately Task 5 Project Formulation and Prioritization Bechtel willwork with te Battelle team and shall develop recommendedcations to modifishyexisting projects and suggestions for new projects allbased on the results of Tasks 2 through 4 The important resultis not to achieve detail for each project but to arrive at clearlyunderstood definitions of

considering what these proj ects should achievethe LSDE mission LSDEs relationship to the work ofother GOI agencies and its relationship to Indonesian industry

Priorities will be recbmmended based on the criteria estabshylished in Masterthe Plan and those subsequenuly developed by theBattelleLSDE project team Task 6 Proiect PaDers The following project papers shallbe provided to USATD Lndonesia

nanagement as a tangible with copies to the BatteleLDEresult of the activities undertaken inthe tasks described above

a Prolect Paoer No -1 The results of Tasks 2 3 and 4shall biedocumenceT BPPT

i3n the form of an inventory of currentprojects related to the LSDECCCT Divisionlist an annotatedof LSDE research and technology application needs asseen by other GO agencies and a list of suggested technologydevelopment transfer activities of greatest benefit toIndonesian industry b Project Paver No 2 A paper shall be prepared recomshymending priorities among the projects identified for tohe Cr-T

A-24

Division The rationale for the selection shall alsoprovided be

c Project Paper No 3 A training planparticipation in all tasks for LSDE stafft shall be prepared forby USADIndonesia Approvalwith the advice of the BattelleLSDEproject mnamgers

staff will be Thi plan will detail how selected LSDEinvolved in all activities and trained in theskills necessary to conduct the same tasks on their own

Task 7 Advisory Services The Bechtel representative willact as a advisor to tne CCCT Division and assistManager and the Divisionstaff in their effort to develop firstoperating plan for the division This plan will the annual

guidelines supplied in the Master be based on thePlan and subsequent guidancesupplied by Battelle

activity as well and and the LSDE Director This is a trainingthe objective will toLSDE staff be help prepare theto conduct such an activity on their own The outputof this task will be a draft documentoperating plan for the CCCT

a prototype annualDivision to be used as a model forfuture revision of the plan Task 8 Assistance RegardinS Pro ects ProDosed By Othershe Bechree representative shll assistP --in- t_ m_ar zprojects proposed to it by third parties and other donors sothey become an thatintegral part of the coordinated LSDE planCdmment It is recognized that various tasks are dependent on a number of factors outside of the controlExamples of such factors of Bechtelare data availability availabilityof suitable LSDEBPPT staff logistiLcal problemsto timing and scheduling of meetings and with respectso on Bechtel willexert its best efforts to eliminatecooperation any such factors in closewith LSDE management and Battelle staffsubstantive success Theof executing each of thehow tasks will dependon well these factors can be eliminated during projectexecution

RTICLE IV - REPORTS a Five copies of all task reports and project papers shallbe provided to USAID by the Contractor

b The Contractor shall prepare a final report at the endthe program outlined above summarizing ofall activities and proshyviding recommendations This final report will be presentedin five (5) copies to USAID before the Contractor leavesIndonesia An additional ten (10) c4e- v-ill be providedBPPT

A-3

-5-

ARTICLE V - STAFFING SCHEDULING AND LIAISON

Bechtel will make Dr D P Lijesen available to conduct anddirect the various tasks of this scope of services All serviceswill be conducted within a period equivalent to 135 working days To cooperate with Bechtel in the execution of all tasks BPPTLSDE will make available on a full time basis three BPPT staffmembers Together with Dr tLijesenstaff willhese membersoperate as a special task force to help develop detailed projectplans project priorities and the first annual operating plan forthe CCCT Division

The task force will work directly for USAIDIndonesia butclose liaison will be maintained with others In particular thetask force will receive information from other deputy areas withinBPPT The task force will function as a mechanism to start theimplementation of the LSDE Master Plan

The work effort is shown below

Work DaysField Staff Chief of Party (Dr Dirk Lijesen) 135

Home Office Technical SupportSenior Engineer

Home Office AdministrativeBusiness Support 3216

Total

ARTICLE VI - RATIONSHIPS AND RESPONSIBILITIES

The contractor shall be responsible to the Mision DirectorUSAJakarta or his designee

Cooperating Coimtry Liaisoa Officials are Dr Harsono Wiryosushymarto Deputy Chairman for Technology Development and Dr LoloPanggabean Director PUSPIPTEK Energy Research Laboratory

AID Liaison officials0 Riordan are in USAIDJakarta Mr DesmondChief USAIDDES and in AIDW SampTEY Alan B Jacobs

ARTICLE VII- TERMOF PEFOR1WCE

The desired starting date is Janaury 13 1986 and theestimated completion date is September 30 1986

ARTICLE VIII - TOTAL OBLIGATED AMOUNT AND BUDGET

a Total Obligated Amount

The total amount obligated for the performance of this orderis $121975 The contractor shall not ezceed the total amount obligated

A-4 7

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

A-5 (6

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

project it will be necessary that BPPT staff be mentored on a day-to-do basis Clearly this has implications in terms of expatriate manpowe requirements and effort devoted to the project The implications of doing thi should be analyzed as soon as possible and where necessary contracts t obtain such intensive support should be formulated and signed as soon a possible The current project momentum will be severely affected if thes matters are not quickly taken care of A delay of even one month will directli impact the achievement of milestones discussed in Appendix D

Projiect Management In a complicated project such as the development o LSDE and with a fair number of expatriate advisors project management is a ke issue Strong and decisive leadership in such situation is a must It is il this role that BPPT will need a great deal of assistance from expatriatt advisors However this assistance should exceed the more traditional advisor3 consultants role In fact it is recommended that the management advisor taket explicit responsibility to help BPPT achieve the agreed upon milestones ane that work performance by the consultant be related to these particulaz achievements It is recommended that US AID assists BPPT in achieving a satisfactory relationship with its management advisor recognizing that tc achieve this may require drastic changes to the status quo

LSDE Priorities Lack of a well defined set of technical priorities for LSDE is considered to be a high priority problem in and by itself Although the masterplan establishes priorities their rationale is still weak In particular if BPPT would have to communicate its LSDE plans and priorities to prospective users andor donors it is felt that a well developed starting point for the discussion is still missing The link between ISDE projects and priorities and actual (present and future) needs in Indonesia has only been established in concept Establishing this link in specifics will requireonsiderable time However efforts to do so should start as soon as possible It is for this reason that one of the project milestones to be met in JulyAugust 1986 1s the effort to scope an industrial energy- use stiddy This

nths study should be focussed specifically on establishing priority user ndustries as well as other users and on specific energy problem areas or Lreas of opportunity in which LSDE could play a specific role Although the iroblem of setting research priorities for LSDE has been discussed many times t should be recognized that this problem does not disappear by itself It will equire some concentrated initial effort to become more knowledgeable regarding lossible solutions

- U - (7

3

Project Work Focus The development of LSDE so far can be characterized by a relatively high degree of conceptual thinking This is quite natural for this type of project However it is recomnended that from now on the work focus shifts to more specific issues In particular all efforts should be directed to assure the opening of the laboratory on April 1 1988 in a manner fully satisfactory to BPPT and US AID Overall the objective of the assistance effort supported by US AID should be to maintain current project momentum and to assure that EIPT is in the best possible take-off position to continue on its own once the loan period ends ie August 31 1989 In this regard and in full conformance with the project plan sumarized in Appendix D specific emphasis should be placed on strengthening the three weakest areas

o Ability to plan and set laboratory directioand priorities o Availability of trained staff o Abi lty to execute specific technical projects in a technically and

scientifically acceptable manner

US AID Support Finally and as the saying goes one sunny day does not make sumner continued and strong US AID support is a must for the project At present a considerable group of BPPT staff members is actively working on the project and expectations of success and work spirits are highHowever it should also be realized that the meeting on July 11 may not have resolved all problems between US AID and BPMT It is recommended that if there are remaining lingering doubts on the side of US AID they be resolved as soon as possible With every day passing project momentum is increasing and therefore any drastic change in commitment or direction would have increasingly more serious implications

3D-11-

APPENDIX A

sCOPE OF WORK

OF

BECHTEL sUPPORT SERVICES

FOR

DEVELomENTO LSDE

TECHrICAL SERVICES CRDE NO 4

SCHEDULE

ARTICLE I - TITLE

Puspiptek Energy Reserach Laboratory -Tecbnical -ssistance to LSDE

-ARTICLE 11 - OBJECTIVE

Bechtel services in support or LDamp are directed to cooperatewith Battelle in achieving the following

- Incorporation of projects related to charter mission andgoals of the CCCT Division and currently ongoing throughoutBPPT into LSDE

Identification and formulation of CCCT research projectsmost appropriate to LSDE in view of its mission and goals

Prioritization of CCCT Research projects

Close liaison between LSDE and other Indonesian energyrelated agencies to assure that research work within the CCCT Division satisfies real needs

Close liaison between LSDE and Indonesian industry to assurethat research work within the CCCT Division is applicable to and useful to Indonesian industry

-Acceleration of developing LSDE staff capability to preparethe annual operating plan for the CCCT Division

ARTICLE III - STATEMENT OF WORK

To assist in achieving the above objectives Bechtel shallundertake the following tasks Execution of these tasks will bezoordinated with the Battelle Project Manager in accordance with the guidance provided by the Master Plan

Task 1 Review LSDE Master Plan Contractor shall review theiSDEmaster plan in detail to determine basic direction of lahorashytory development in terms of mission goals organization etcSuggestions will be provided on the implementation of the Master Plan

Task 2 Analysis BPPT Projects Contractor shall make ananalysis and inventory of all current BPPT projects which intheir definition are closely related to the charter of theLSDECCCT Division An assessment of their usefulness to LSDEshall be made Where warranted specific recommendations shallbe made to Battelle and LSDE management on how to incorporate

~

3

these projects within the programr of workSpecific emphasis will be plIaced 7on for the CCCT Division

accelerating LSDEsof development by building upon results and process

accomplishments olcurrent projects Task 3 Review GOI Agency Work related to the CCCT DivisionContractor snall hold interviews and discussions with variousagencies in order G0Ito identify specific needsIncluded in the agencies

that LSDE can serve are the of andMinis try MinesPR Tambang Batubara Energy

Mineral PT Bukit Asam PLN Laboratory forDevelopment LIPI variousand universities Thesediscussions will also identify how these institutionsstaffs can contribute to research to

and theirbe undertaken within theLSDECCCT Division

Task 4 Industrial Use of CCCT Research Critical to LSDE isthe line between its research and =e use ofindustry this -research inA preliminary screening shall -be made as to the typeof existing companies in Indonesia that can benefit from the workdone in the CCCT Division as -well as the type of new companiesthat can be envisioned based on CCCT research In bothemphasis shall be casesplaced on a realistic assessmentlinkages of the type ofthat the CCCT Division should start pursuing immediately Task 5 Project Formulation and Prioritization Bechtel willwork with te Battelle team and shall develop recommendedcations to modifishyexisting projects and suggestions for new projects allbased on the results of Tasks 2 through 4 The important resultis not to achieve detail for each project but to arrive at clearlyunderstood definitions of

considering what these proj ects should achievethe LSDE mission LSDEs relationship to the work ofother GOI agencies and its relationship to Indonesian industry

Priorities will be recbmmended based on the criteria estabshylished in Masterthe Plan and those subsequenuly developed by theBattelleLSDE project team Task 6 Proiect PaDers The following project papers shallbe provided to USATD Lndonesia

nanagement as a tangible with copies to the BatteleLDEresult of the activities undertaken inthe tasks described above

a Prolect Paoer No -1 The results of Tasks 2 3 and 4shall biedocumenceT BPPT

i3n the form of an inventory of currentprojects related to the LSDECCCT Divisionlist an annotatedof LSDE research and technology application needs asseen by other GO agencies and a list of suggested technologydevelopment transfer activities of greatest benefit toIndonesian industry b Project Paver No 2 A paper shall be prepared recomshymending priorities among the projects identified for tohe Cr-T

A-24

Division The rationale for the selection shall alsoprovided be

c Project Paper No 3 A training planparticipation in all tasks for LSDE stafft shall be prepared forby USADIndonesia Approvalwith the advice of the BattelleLSDEproject mnamgers

staff will be Thi plan will detail how selected LSDEinvolved in all activities and trained in theskills necessary to conduct the same tasks on their own

Task 7 Advisory Services The Bechtel representative willact as a advisor to tne CCCT Division and assistManager and the Divisionstaff in their effort to develop firstoperating plan for the division This plan will the annual

guidelines supplied in the Master be based on thePlan and subsequent guidancesupplied by Battelle

activity as well and and the LSDE Director This is a trainingthe objective will toLSDE staff be help prepare theto conduct such an activity on their own The outputof this task will be a draft documentoperating plan for the CCCT

a prototype annualDivision to be used as a model forfuture revision of the plan Task 8 Assistance RegardinS Pro ects ProDosed By Othershe Bechree representative shll assistP --in- t_ m_ar zprojects proposed to it by third parties and other donors sothey become an thatintegral part of the coordinated LSDE planCdmment It is recognized that various tasks are dependent on a number of factors outside of the controlExamples of such factors of Bechtelare data availability availabilityof suitable LSDEBPPT staff logistiLcal problemsto timing and scheduling of meetings and with respectso on Bechtel willexert its best efforts to eliminatecooperation any such factors in closewith LSDE management and Battelle staffsubstantive success Theof executing each of thehow tasks will dependon well these factors can be eliminated during projectexecution

RTICLE IV - REPORTS a Five copies of all task reports and project papers shallbe provided to USAID by the Contractor

b The Contractor shall prepare a final report at the endthe program outlined above summarizing ofall activities and proshyviding recommendations This final report will be presentedin five (5) copies to USAID before the Contractor leavesIndonesia An additional ten (10) c4e- v-ill be providedBPPT

A-3

-5-

ARTICLE V - STAFFING SCHEDULING AND LIAISON

Bechtel will make Dr D P Lijesen available to conduct anddirect the various tasks of this scope of services All serviceswill be conducted within a period equivalent to 135 working days To cooperate with Bechtel in the execution of all tasks BPPTLSDE will make available on a full time basis three BPPT staffmembers Together with Dr tLijesenstaff willhese membersoperate as a special task force to help develop detailed projectplans project priorities and the first annual operating plan forthe CCCT Division

The task force will work directly for USAIDIndonesia butclose liaison will be maintained with others In particular thetask force will receive information from other deputy areas withinBPPT The task force will function as a mechanism to start theimplementation of the LSDE Master Plan

The work effort is shown below

Work DaysField Staff Chief of Party (Dr Dirk Lijesen) 135

Home Office Technical SupportSenior Engineer

Home Office AdministrativeBusiness Support 3216

Total

ARTICLE VI - RATIONSHIPS AND RESPONSIBILITIES

The contractor shall be responsible to the Mision DirectorUSAJakarta or his designee

Cooperating Coimtry Liaisoa Officials are Dr Harsono Wiryosushymarto Deputy Chairman for Technology Development and Dr LoloPanggabean Director PUSPIPTEK Energy Research Laboratory

AID Liaison officials0 Riordan are in USAIDJakarta Mr DesmondChief USAIDDES and in AIDW SampTEY Alan B Jacobs

ARTICLE VII- TERMOF PEFOR1WCE

The desired starting date is Janaury 13 1986 and theestimated completion date is September 30 1986

ARTICLE VIII - TOTAL OBLIGATED AMOUNT AND BUDGET

a Total Obligated Amount

The total amount obligated for the performance of this orderis $121975 The contractor shall not ezceed the total amount obligated

A-4 7

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

A-5 (6

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

Project Work Focus The development of LSDE so far can be characterized by a relatively high degree of conceptual thinking This is quite natural for this type of project However it is recomnended that from now on the work focus shifts to more specific issues In particular all efforts should be directed to assure the opening of the laboratory on April 1 1988 in a manner fully satisfactory to BPPT and US AID Overall the objective of the assistance effort supported by US AID should be to maintain current project momentum and to assure that EIPT is in the best possible take-off position to continue on its own once the loan period ends ie August 31 1989 In this regard and in full conformance with the project plan sumarized in Appendix D specific emphasis should be placed on strengthening the three weakest areas

o Ability to plan and set laboratory directioand priorities o Availability of trained staff o Abi lty to execute specific technical projects in a technically and

scientifically acceptable manner

US AID Support Finally and as the saying goes one sunny day does not make sumner continued and strong US AID support is a must for the project At present a considerable group of BPPT staff members is actively working on the project and expectations of success and work spirits are highHowever it should also be realized that the meeting on July 11 may not have resolved all problems between US AID and BPMT It is recommended that if there are remaining lingering doubts on the side of US AID they be resolved as soon as possible With every day passing project momentum is increasing and therefore any drastic change in commitment or direction would have increasingly more serious implications

3D-11-

APPENDIX A

sCOPE OF WORK

OF

BECHTEL sUPPORT SERVICES

FOR

DEVELomENTO LSDE

TECHrICAL SERVICES CRDE NO 4

SCHEDULE

ARTICLE I - TITLE

Puspiptek Energy Reserach Laboratory -Tecbnical -ssistance to LSDE

-ARTICLE 11 - OBJECTIVE

Bechtel services in support or LDamp are directed to cooperatewith Battelle in achieving the following

- Incorporation of projects related to charter mission andgoals of the CCCT Division and currently ongoing throughoutBPPT into LSDE

Identification and formulation of CCCT research projectsmost appropriate to LSDE in view of its mission and goals

Prioritization of CCCT Research projects

Close liaison between LSDE and other Indonesian energyrelated agencies to assure that research work within the CCCT Division satisfies real needs

Close liaison between LSDE and Indonesian industry to assurethat research work within the CCCT Division is applicable to and useful to Indonesian industry

-Acceleration of developing LSDE staff capability to preparethe annual operating plan for the CCCT Division

ARTICLE III - STATEMENT OF WORK

To assist in achieving the above objectives Bechtel shallundertake the following tasks Execution of these tasks will bezoordinated with the Battelle Project Manager in accordance with the guidance provided by the Master Plan

Task 1 Review LSDE Master Plan Contractor shall review theiSDEmaster plan in detail to determine basic direction of lahorashytory development in terms of mission goals organization etcSuggestions will be provided on the implementation of the Master Plan

Task 2 Analysis BPPT Projects Contractor shall make ananalysis and inventory of all current BPPT projects which intheir definition are closely related to the charter of theLSDECCCT Division An assessment of their usefulness to LSDEshall be made Where warranted specific recommendations shallbe made to Battelle and LSDE management on how to incorporate

~

3

these projects within the programr of workSpecific emphasis will be plIaced 7on for the CCCT Division

accelerating LSDEsof development by building upon results and process

accomplishments olcurrent projects Task 3 Review GOI Agency Work related to the CCCT DivisionContractor snall hold interviews and discussions with variousagencies in order G0Ito identify specific needsIncluded in the agencies

that LSDE can serve are the of andMinis try MinesPR Tambang Batubara Energy

Mineral PT Bukit Asam PLN Laboratory forDevelopment LIPI variousand universities Thesediscussions will also identify how these institutionsstaffs can contribute to research to

and theirbe undertaken within theLSDECCCT Division

Task 4 Industrial Use of CCCT Research Critical to LSDE isthe line between its research and =e use ofindustry this -research inA preliminary screening shall -be made as to the typeof existing companies in Indonesia that can benefit from the workdone in the CCCT Division as -well as the type of new companiesthat can be envisioned based on CCCT research In bothemphasis shall be casesplaced on a realistic assessmentlinkages of the type ofthat the CCCT Division should start pursuing immediately Task 5 Project Formulation and Prioritization Bechtel willwork with te Battelle team and shall develop recommendedcations to modifishyexisting projects and suggestions for new projects allbased on the results of Tasks 2 through 4 The important resultis not to achieve detail for each project but to arrive at clearlyunderstood definitions of

considering what these proj ects should achievethe LSDE mission LSDEs relationship to the work ofother GOI agencies and its relationship to Indonesian industry

Priorities will be recbmmended based on the criteria estabshylished in Masterthe Plan and those subsequenuly developed by theBattelleLSDE project team Task 6 Proiect PaDers The following project papers shallbe provided to USATD Lndonesia

nanagement as a tangible with copies to the BatteleLDEresult of the activities undertaken inthe tasks described above

a Prolect Paoer No -1 The results of Tasks 2 3 and 4shall biedocumenceT BPPT

i3n the form of an inventory of currentprojects related to the LSDECCCT Divisionlist an annotatedof LSDE research and technology application needs asseen by other GO agencies and a list of suggested technologydevelopment transfer activities of greatest benefit toIndonesian industry b Project Paver No 2 A paper shall be prepared recomshymending priorities among the projects identified for tohe Cr-T

A-24

Division The rationale for the selection shall alsoprovided be

c Project Paper No 3 A training planparticipation in all tasks for LSDE stafft shall be prepared forby USADIndonesia Approvalwith the advice of the BattelleLSDEproject mnamgers

staff will be Thi plan will detail how selected LSDEinvolved in all activities and trained in theskills necessary to conduct the same tasks on their own

Task 7 Advisory Services The Bechtel representative willact as a advisor to tne CCCT Division and assistManager and the Divisionstaff in their effort to develop firstoperating plan for the division This plan will the annual

guidelines supplied in the Master be based on thePlan and subsequent guidancesupplied by Battelle

activity as well and and the LSDE Director This is a trainingthe objective will toLSDE staff be help prepare theto conduct such an activity on their own The outputof this task will be a draft documentoperating plan for the CCCT

a prototype annualDivision to be used as a model forfuture revision of the plan Task 8 Assistance RegardinS Pro ects ProDosed By Othershe Bechree representative shll assistP --in- t_ m_ar zprojects proposed to it by third parties and other donors sothey become an thatintegral part of the coordinated LSDE planCdmment It is recognized that various tasks are dependent on a number of factors outside of the controlExamples of such factors of Bechtelare data availability availabilityof suitable LSDEBPPT staff logistiLcal problemsto timing and scheduling of meetings and with respectso on Bechtel willexert its best efforts to eliminatecooperation any such factors in closewith LSDE management and Battelle staffsubstantive success Theof executing each of thehow tasks will dependon well these factors can be eliminated during projectexecution

RTICLE IV - REPORTS a Five copies of all task reports and project papers shallbe provided to USAID by the Contractor

b The Contractor shall prepare a final report at the endthe program outlined above summarizing ofall activities and proshyviding recommendations This final report will be presentedin five (5) copies to USAID before the Contractor leavesIndonesia An additional ten (10) c4e- v-ill be providedBPPT

A-3

-5-

ARTICLE V - STAFFING SCHEDULING AND LIAISON

Bechtel will make Dr D P Lijesen available to conduct anddirect the various tasks of this scope of services All serviceswill be conducted within a period equivalent to 135 working days To cooperate with Bechtel in the execution of all tasks BPPTLSDE will make available on a full time basis three BPPT staffmembers Together with Dr tLijesenstaff willhese membersoperate as a special task force to help develop detailed projectplans project priorities and the first annual operating plan forthe CCCT Division

The task force will work directly for USAIDIndonesia butclose liaison will be maintained with others In particular thetask force will receive information from other deputy areas withinBPPT The task force will function as a mechanism to start theimplementation of the LSDE Master Plan

The work effort is shown below

Work DaysField Staff Chief of Party (Dr Dirk Lijesen) 135

Home Office Technical SupportSenior Engineer

Home Office AdministrativeBusiness Support 3216

Total

ARTICLE VI - RATIONSHIPS AND RESPONSIBILITIES

The contractor shall be responsible to the Mision DirectorUSAJakarta or his designee

Cooperating Coimtry Liaisoa Officials are Dr Harsono Wiryosushymarto Deputy Chairman for Technology Development and Dr LoloPanggabean Director PUSPIPTEK Energy Research Laboratory

AID Liaison officials0 Riordan are in USAIDJakarta Mr DesmondChief USAIDDES and in AIDW SampTEY Alan B Jacobs

ARTICLE VII- TERMOF PEFOR1WCE

The desired starting date is Janaury 13 1986 and theestimated completion date is September 30 1986

ARTICLE VIII - TOTAL OBLIGATED AMOUNT AND BUDGET

a Total Obligated Amount

The total amount obligated for the performance of this orderis $121975 The contractor shall not ezceed the total amount obligated

A-4 7

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

A-5 (6

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

APPENDIX A

sCOPE OF WORK

OF

BECHTEL sUPPORT SERVICES

FOR

DEVELomENTO LSDE

TECHrICAL SERVICES CRDE NO 4

SCHEDULE

ARTICLE I - TITLE

Puspiptek Energy Reserach Laboratory -Tecbnical -ssistance to LSDE

-ARTICLE 11 - OBJECTIVE

Bechtel services in support or LDamp are directed to cooperatewith Battelle in achieving the following

- Incorporation of projects related to charter mission andgoals of the CCCT Division and currently ongoing throughoutBPPT into LSDE

Identification and formulation of CCCT research projectsmost appropriate to LSDE in view of its mission and goals

Prioritization of CCCT Research projects

Close liaison between LSDE and other Indonesian energyrelated agencies to assure that research work within the CCCT Division satisfies real needs

Close liaison between LSDE and Indonesian industry to assurethat research work within the CCCT Division is applicable to and useful to Indonesian industry

-Acceleration of developing LSDE staff capability to preparethe annual operating plan for the CCCT Division

ARTICLE III - STATEMENT OF WORK

To assist in achieving the above objectives Bechtel shallundertake the following tasks Execution of these tasks will bezoordinated with the Battelle Project Manager in accordance with the guidance provided by the Master Plan

Task 1 Review LSDE Master Plan Contractor shall review theiSDEmaster plan in detail to determine basic direction of lahorashytory development in terms of mission goals organization etcSuggestions will be provided on the implementation of the Master Plan

Task 2 Analysis BPPT Projects Contractor shall make ananalysis and inventory of all current BPPT projects which intheir definition are closely related to the charter of theLSDECCCT Division An assessment of their usefulness to LSDEshall be made Where warranted specific recommendations shallbe made to Battelle and LSDE management on how to incorporate

~

3

these projects within the programr of workSpecific emphasis will be plIaced 7on for the CCCT Division

accelerating LSDEsof development by building upon results and process

accomplishments olcurrent projects Task 3 Review GOI Agency Work related to the CCCT DivisionContractor snall hold interviews and discussions with variousagencies in order G0Ito identify specific needsIncluded in the agencies

that LSDE can serve are the of andMinis try MinesPR Tambang Batubara Energy

Mineral PT Bukit Asam PLN Laboratory forDevelopment LIPI variousand universities Thesediscussions will also identify how these institutionsstaffs can contribute to research to

and theirbe undertaken within theLSDECCCT Division

Task 4 Industrial Use of CCCT Research Critical to LSDE isthe line between its research and =e use ofindustry this -research inA preliminary screening shall -be made as to the typeof existing companies in Indonesia that can benefit from the workdone in the CCCT Division as -well as the type of new companiesthat can be envisioned based on CCCT research In bothemphasis shall be casesplaced on a realistic assessmentlinkages of the type ofthat the CCCT Division should start pursuing immediately Task 5 Project Formulation and Prioritization Bechtel willwork with te Battelle team and shall develop recommendedcations to modifishyexisting projects and suggestions for new projects allbased on the results of Tasks 2 through 4 The important resultis not to achieve detail for each project but to arrive at clearlyunderstood definitions of

considering what these proj ects should achievethe LSDE mission LSDEs relationship to the work ofother GOI agencies and its relationship to Indonesian industry

Priorities will be recbmmended based on the criteria estabshylished in Masterthe Plan and those subsequenuly developed by theBattelleLSDE project team Task 6 Proiect PaDers The following project papers shallbe provided to USATD Lndonesia

nanagement as a tangible with copies to the BatteleLDEresult of the activities undertaken inthe tasks described above

a Prolect Paoer No -1 The results of Tasks 2 3 and 4shall biedocumenceT BPPT

i3n the form of an inventory of currentprojects related to the LSDECCCT Divisionlist an annotatedof LSDE research and technology application needs asseen by other GO agencies and a list of suggested technologydevelopment transfer activities of greatest benefit toIndonesian industry b Project Paver No 2 A paper shall be prepared recomshymending priorities among the projects identified for tohe Cr-T

A-24

Division The rationale for the selection shall alsoprovided be

c Project Paper No 3 A training planparticipation in all tasks for LSDE stafft shall be prepared forby USADIndonesia Approvalwith the advice of the BattelleLSDEproject mnamgers

staff will be Thi plan will detail how selected LSDEinvolved in all activities and trained in theskills necessary to conduct the same tasks on their own

Task 7 Advisory Services The Bechtel representative willact as a advisor to tne CCCT Division and assistManager and the Divisionstaff in their effort to develop firstoperating plan for the division This plan will the annual

guidelines supplied in the Master be based on thePlan and subsequent guidancesupplied by Battelle

activity as well and and the LSDE Director This is a trainingthe objective will toLSDE staff be help prepare theto conduct such an activity on their own The outputof this task will be a draft documentoperating plan for the CCCT

a prototype annualDivision to be used as a model forfuture revision of the plan Task 8 Assistance RegardinS Pro ects ProDosed By Othershe Bechree representative shll assistP --in- t_ m_ar zprojects proposed to it by third parties and other donors sothey become an thatintegral part of the coordinated LSDE planCdmment It is recognized that various tasks are dependent on a number of factors outside of the controlExamples of such factors of Bechtelare data availability availabilityof suitable LSDEBPPT staff logistiLcal problemsto timing and scheduling of meetings and with respectso on Bechtel willexert its best efforts to eliminatecooperation any such factors in closewith LSDE management and Battelle staffsubstantive success Theof executing each of thehow tasks will dependon well these factors can be eliminated during projectexecution

RTICLE IV - REPORTS a Five copies of all task reports and project papers shallbe provided to USAID by the Contractor

b The Contractor shall prepare a final report at the endthe program outlined above summarizing ofall activities and proshyviding recommendations This final report will be presentedin five (5) copies to USAID before the Contractor leavesIndonesia An additional ten (10) c4e- v-ill be providedBPPT

A-3

-5-

ARTICLE V - STAFFING SCHEDULING AND LIAISON

Bechtel will make Dr D P Lijesen available to conduct anddirect the various tasks of this scope of services All serviceswill be conducted within a period equivalent to 135 working days To cooperate with Bechtel in the execution of all tasks BPPTLSDE will make available on a full time basis three BPPT staffmembers Together with Dr tLijesenstaff willhese membersoperate as a special task force to help develop detailed projectplans project priorities and the first annual operating plan forthe CCCT Division

The task force will work directly for USAIDIndonesia butclose liaison will be maintained with others In particular thetask force will receive information from other deputy areas withinBPPT The task force will function as a mechanism to start theimplementation of the LSDE Master Plan

The work effort is shown below

Work DaysField Staff Chief of Party (Dr Dirk Lijesen) 135

Home Office Technical SupportSenior Engineer

Home Office AdministrativeBusiness Support 3216

Total

ARTICLE VI - RATIONSHIPS AND RESPONSIBILITIES

The contractor shall be responsible to the Mision DirectorUSAJakarta or his designee

Cooperating Coimtry Liaisoa Officials are Dr Harsono Wiryosushymarto Deputy Chairman for Technology Development and Dr LoloPanggabean Director PUSPIPTEK Energy Research Laboratory

AID Liaison officials0 Riordan are in USAIDJakarta Mr DesmondChief USAIDDES and in AIDW SampTEY Alan B Jacobs

ARTICLE VII- TERMOF PEFOR1WCE

The desired starting date is Janaury 13 1986 and theestimated completion date is September 30 1986

ARTICLE VIII - TOTAL OBLIGATED AMOUNT AND BUDGET

a Total Obligated Amount

The total amount obligated for the performance of this orderis $121975 The contractor shall not ezceed the total amount obligated

A-4 7

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

A-5 (6

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

TECHrICAL SERVICES CRDE NO 4

SCHEDULE

ARTICLE I - TITLE

Puspiptek Energy Reserach Laboratory -Tecbnical -ssistance to LSDE

-ARTICLE 11 - OBJECTIVE

Bechtel services in support or LDamp are directed to cooperatewith Battelle in achieving the following

- Incorporation of projects related to charter mission andgoals of the CCCT Division and currently ongoing throughoutBPPT into LSDE

Identification and formulation of CCCT research projectsmost appropriate to LSDE in view of its mission and goals

Prioritization of CCCT Research projects

Close liaison between LSDE and other Indonesian energyrelated agencies to assure that research work within the CCCT Division satisfies real needs

Close liaison between LSDE and Indonesian industry to assurethat research work within the CCCT Division is applicable to and useful to Indonesian industry

-Acceleration of developing LSDE staff capability to preparethe annual operating plan for the CCCT Division

ARTICLE III - STATEMENT OF WORK

To assist in achieving the above objectives Bechtel shallundertake the following tasks Execution of these tasks will bezoordinated with the Battelle Project Manager in accordance with the guidance provided by the Master Plan

Task 1 Review LSDE Master Plan Contractor shall review theiSDEmaster plan in detail to determine basic direction of lahorashytory development in terms of mission goals organization etcSuggestions will be provided on the implementation of the Master Plan

Task 2 Analysis BPPT Projects Contractor shall make ananalysis and inventory of all current BPPT projects which intheir definition are closely related to the charter of theLSDECCCT Division An assessment of their usefulness to LSDEshall be made Where warranted specific recommendations shallbe made to Battelle and LSDE management on how to incorporate

~

3

these projects within the programr of workSpecific emphasis will be plIaced 7on for the CCCT Division

accelerating LSDEsof development by building upon results and process

accomplishments olcurrent projects Task 3 Review GOI Agency Work related to the CCCT DivisionContractor snall hold interviews and discussions with variousagencies in order G0Ito identify specific needsIncluded in the agencies

that LSDE can serve are the of andMinis try MinesPR Tambang Batubara Energy

Mineral PT Bukit Asam PLN Laboratory forDevelopment LIPI variousand universities Thesediscussions will also identify how these institutionsstaffs can contribute to research to

and theirbe undertaken within theLSDECCCT Division

Task 4 Industrial Use of CCCT Research Critical to LSDE isthe line between its research and =e use ofindustry this -research inA preliminary screening shall -be made as to the typeof existing companies in Indonesia that can benefit from the workdone in the CCCT Division as -well as the type of new companiesthat can be envisioned based on CCCT research In bothemphasis shall be casesplaced on a realistic assessmentlinkages of the type ofthat the CCCT Division should start pursuing immediately Task 5 Project Formulation and Prioritization Bechtel willwork with te Battelle team and shall develop recommendedcations to modifishyexisting projects and suggestions for new projects allbased on the results of Tasks 2 through 4 The important resultis not to achieve detail for each project but to arrive at clearlyunderstood definitions of

considering what these proj ects should achievethe LSDE mission LSDEs relationship to the work ofother GOI agencies and its relationship to Indonesian industry

Priorities will be recbmmended based on the criteria estabshylished in Masterthe Plan and those subsequenuly developed by theBattelleLSDE project team Task 6 Proiect PaDers The following project papers shallbe provided to USATD Lndonesia

nanagement as a tangible with copies to the BatteleLDEresult of the activities undertaken inthe tasks described above

a Prolect Paoer No -1 The results of Tasks 2 3 and 4shall biedocumenceT BPPT

i3n the form of an inventory of currentprojects related to the LSDECCCT Divisionlist an annotatedof LSDE research and technology application needs asseen by other GO agencies and a list of suggested technologydevelopment transfer activities of greatest benefit toIndonesian industry b Project Paver No 2 A paper shall be prepared recomshymending priorities among the projects identified for tohe Cr-T

A-24

Division The rationale for the selection shall alsoprovided be

c Project Paper No 3 A training planparticipation in all tasks for LSDE stafft shall be prepared forby USADIndonesia Approvalwith the advice of the BattelleLSDEproject mnamgers

staff will be Thi plan will detail how selected LSDEinvolved in all activities and trained in theskills necessary to conduct the same tasks on their own

Task 7 Advisory Services The Bechtel representative willact as a advisor to tne CCCT Division and assistManager and the Divisionstaff in their effort to develop firstoperating plan for the division This plan will the annual

guidelines supplied in the Master be based on thePlan and subsequent guidancesupplied by Battelle

activity as well and and the LSDE Director This is a trainingthe objective will toLSDE staff be help prepare theto conduct such an activity on their own The outputof this task will be a draft documentoperating plan for the CCCT

a prototype annualDivision to be used as a model forfuture revision of the plan Task 8 Assistance RegardinS Pro ects ProDosed By Othershe Bechree representative shll assistP --in- t_ m_ar zprojects proposed to it by third parties and other donors sothey become an thatintegral part of the coordinated LSDE planCdmment It is recognized that various tasks are dependent on a number of factors outside of the controlExamples of such factors of Bechtelare data availability availabilityof suitable LSDEBPPT staff logistiLcal problemsto timing and scheduling of meetings and with respectso on Bechtel willexert its best efforts to eliminatecooperation any such factors in closewith LSDE management and Battelle staffsubstantive success Theof executing each of thehow tasks will dependon well these factors can be eliminated during projectexecution

RTICLE IV - REPORTS a Five copies of all task reports and project papers shallbe provided to USAID by the Contractor

b The Contractor shall prepare a final report at the endthe program outlined above summarizing ofall activities and proshyviding recommendations This final report will be presentedin five (5) copies to USAID before the Contractor leavesIndonesia An additional ten (10) c4e- v-ill be providedBPPT

A-3

-5-

ARTICLE V - STAFFING SCHEDULING AND LIAISON

Bechtel will make Dr D P Lijesen available to conduct anddirect the various tasks of this scope of services All serviceswill be conducted within a period equivalent to 135 working days To cooperate with Bechtel in the execution of all tasks BPPTLSDE will make available on a full time basis three BPPT staffmembers Together with Dr tLijesenstaff willhese membersoperate as a special task force to help develop detailed projectplans project priorities and the first annual operating plan forthe CCCT Division

The task force will work directly for USAIDIndonesia butclose liaison will be maintained with others In particular thetask force will receive information from other deputy areas withinBPPT The task force will function as a mechanism to start theimplementation of the LSDE Master Plan

The work effort is shown below

Work DaysField Staff Chief of Party (Dr Dirk Lijesen) 135

Home Office Technical SupportSenior Engineer

Home Office AdministrativeBusiness Support 3216

Total

ARTICLE VI - RATIONSHIPS AND RESPONSIBILITIES

The contractor shall be responsible to the Mision DirectorUSAJakarta or his designee

Cooperating Coimtry Liaisoa Officials are Dr Harsono Wiryosushymarto Deputy Chairman for Technology Development and Dr LoloPanggabean Director PUSPIPTEK Energy Research Laboratory

AID Liaison officials0 Riordan are in USAIDJakarta Mr DesmondChief USAIDDES and in AIDW SampTEY Alan B Jacobs

ARTICLE VII- TERMOF PEFOR1WCE

The desired starting date is Janaury 13 1986 and theestimated completion date is September 30 1986

ARTICLE VIII - TOTAL OBLIGATED AMOUNT AND BUDGET

a Total Obligated Amount

The total amount obligated for the performance of this orderis $121975 The contractor shall not ezceed the total amount obligated

A-4 7

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

A-5 (6

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

3

these projects within the programr of workSpecific emphasis will be plIaced 7on for the CCCT Division

accelerating LSDEsof development by building upon results and process

accomplishments olcurrent projects Task 3 Review GOI Agency Work related to the CCCT DivisionContractor snall hold interviews and discussions with variousagencies in order G0Ito identify specific needsIncluded in the agencies

that LSDE can serve are the of andMinis try MinesPR Tambang Batubara Energy

Mineral PT Bukit Asam PLN Laboratory forDevelopment LIPI variousand universities Thesediscussions will also identify how these institutionsstaffs can contribute to research to

and theirbe undertaken within theLSDECCCT Division

Task 4 Industrial Use of CCCT Research Critical to LSDE isthe line between its research and =e use ofindustry this -research inA preliminary screening shall -be made as to the typeof existing companies in Indonesia that can benefit from the workdone in the CCCT Division as -well as the type of new companiesthat can be envisioned based on CCCT research In bothemphasis shall be casesplaced on a realistic assessmentlinkages of the type ofthat the CCCT Division should start pursuing immediately Task 5 Project Formulation and Prioritization Bechtel willwork with te Battelle team and shall develop recommendedcations to modifishyexisting projects and suggestions for new projects allbased on the results of Tasks 2 through 4 The important resultis not to achieve detail for each project but to arrive at clearlyunderstood definitions of

considering what these proj ects should achievethe LSDE mission LSDEs relationship to the work ofother GOI agencies and its relationship to Indonesian industry

Priorities will be recbmmended based on the criteria estabshylished in Masterthe Plan and those subsequenuly developed by theBattelleLSDE project team Task 6 Proiect PaDers The following project papers shallbe provided to USATD Lndonesia

nanagement as a tangible with copies to the BatteleLDEresult of the activities undertaken inthe tasks described above

a Prolect Paoer No -1 The results of Tasks 2 3 and 4shall biedocumenceT BPPT

i3n the form of an inventory of currentprojects related to the LSDECCCT Divisionlist an annotatedof LSDE research and technology application needs asseen by other GO agencies and a list of suggested technologydevelopment transfer activities of greatest benefit toIndonesian industry b Project Paver No 2 A paper shall be prepared recomshymending priorities among the projects identified for tohe Cr-T

A-24

Division The rationale for the selection shall alsoprovided be

c Project Paper No 3 A training planparticipation in all tasks for LSDE stafft shall be prepared forby USADIndonesia Approvalwith the advice of the BattelleLSDEproject mnamgers

staff will be Thi plan will detail how selected LSDEinvolved in all activities and trained in theskills necessary to conduct the same tasks on their own

Task 7 Advisory Services The Bechtel representative willact as a advisor to tne CCCT Division and assistManager and the Divisionstaff in their effort to develop firstoperating plan for the division This plan will the annual

guidelines supplied in the Master be based on thePlan and subsequent guidancesupplied by Battelle

activity as well and and the LSDE Director This is a trainingthe objective will toLSDE staff be help prepare theto conduct such an activity on their own The outputof this task will be a draft documentoperating plan for the CCCT

a prototype annualDivision to be used as a model forfuture revision of the plan Task 8 Assistance RegardinS Pro ects ProDosed By Othershe Bechree representative shll assistP --in- t_ m_ar zprojects proposed to it by third parties and other donors sothey become an thatintegral part of the coordinated LSDE planCdmment It is recognized that various tasks are dependent on a number of factors outside of the controlExamples of such factors of Bechtelare data availability availabilityof suitable LSDEBPPT staff logistiLcal problemsto timing and scheduling of meetings and with respectso on Bechtel willexert its best efforts to eliminatecooperation any such factors in closewith LSDE management and Battelle staffsubstantive success Theof executing each of thehow tasks will dependon well these factors can be eliminated during projectexecution

RTICLE IV - REPORTS a Five copies of all task reports and project papers shallbe provided to USAID by the Contractor

b The Contractor shall prepare a final report at the endthe program outlined above summarizing ofall activities and proshyviding recommendations This final report will be presentedin five (5) copies to USAID before the Contractor leavesIndonesia An additional ten (10) c4e- v-ill be providedBPPT

A-3

-5-

ARTICLE V - STAFFING SCHEDULING AND LIAISON

Bechtel will make Dr D P Lijesen available to conduct anddirect the various tasks of this scope of services All serviceswill be conducted within a period equivalent to 135 working days To cooperate with Bechtel in the execution of all tasks BPPTLSDE will make available on a full time basis three BPPT staffmembers Together with Dr tLijesenstaff willhese membersoperate as a special task force to help develop detailed projectplans project priorities and the first annual operating plan forthe CCCT Division

The task force will work directly for USAIDIndonesia butclose liaison will be maintained with others In particular thetask force will receive information from other deputy areas withinBPPT The task force will function as a mechanism to start theimplementation of the LSDE Master Plan

The work effort is shown below

Work DaysField Staff Chief of Party (Dr Dirk Lijesen) 135

Home Office Technical SupportSenior Engineer

Home Office AdministrativeBusiness Support 3216

Total

ARTICLE VI - RATIONSHIPS AND RESPONSIBILITIES

The contractor shall be responsible to the Mision DirectorUSAJakarta or his designee

Cooperating Coimtry Liaisoa Officials are Dr Harsono Wiryosushymarto Deputy Chairman for Technology Development and Dr LoloPanggabean Director PUSPIPTEK Energy Research Laboratory

AID Liaison officials0 Riordan are in USAIDJakarta Mr DesmondChief USAIDDES and in AIDW SampTEY Alan B Jacobs

ARTICLE VII- TERMOF PEFOR1WCE

The desired starting date is Janaury 13 1986 and theestimated completion date is September 30 1986

ARTICLE VIII - TOTAL OBLIGATED AMOUNT AND BUDGET

a Total Obligated Amount

The total amount obligated for the performance of this orderis $121975 The contractor shall not ezceed the total amount obligated

A-4 7

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

A-5 (6

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

Division The rationale for the selection shall alsoprovided be

c Project Paper No 3 A training planparticipation in all tasks for LSDE stafft shall be prepared forby USADIndonesia Approvalwith the advice of the BattelleLSDEproject mnamgers

staff will be Thi plan will detail how selected LSDEinvolved in all activities and trained in theskills necessary to conduct the same tasks on their own

Task 7 Advisory Services The Bechtel representative willact as a advisor to tne CCCT Division and assistManager and the Divisionstaff in their effort to develop firstoperating plan for the division This plan will the annual

guidelines supplied in the Master be based on thePlan and subsequent guidancesupplied by Battelle

activity as well and and the LSDE Director This is a trainingthe objective will toLSDE staff be help prepare theto conduct such an activity on their own The outputof this task will be a draft documentoperating plan for the CCCT

a prototype annualDivision to be used as a model forfuture revision of the plan Task 8 Assistance RegardinS Pro ects ProDosed By Othershe Bechree representative shll assistP --in- t_ m_ar zprojects proposed to it by third parties and other donors sothey become an thatintegral part of the coordinated LSDE planCdmment It is recognized that various tasks are dependent on a number of factors outside of the controlExamples of such factors of Bechtelare data availability availabilityof suitable LSDEBPPT staff logistiLcal problemsto timing and scheduling of meetings and with respectso on Bechtel willexert its best efforts to eliminatecooperation any such factors in closewith LSDE management and Battelle staffsubstantive success Theof executing each of thehow tasks will dependon well these factors can be eliminated during projectexecution

RTICLE IV - REPORTS a Five copies of all task reports and project papers shallbe provided to USAID by the Contractor

b The Contractor shall prepare a final report at the endthe program outlined above summarizing ofall activities and proshyviding recommendations This final report will be presentedin five (5) copies to USAID before the Contractor leavesIndonesia An additional ten (10) c4e- v-ill be providedBPPT

A-3

-5-

ARTICLE V - STAFFING SCHEDULING AND LIAISON

Bechtel will make Dr D P Lijesen available to conduct anddirect the various tasks of this scope of services All serviceswill be conducted within a period equivalent to 135 working days To cooperate with Bechtel in the execution of all tasks BPPTLSDE will make available on a full time basis three BPPT staffmembers Together with Dr tLijesenstaff willhese membersoperate as a special task force to help develop detailed projectplans project priorities and the first annual operating plan forthe CCCT Division

The task force will work directly for USAIDIndonesia butclose liaison will be maintained with others In particular thetask force will receive information from other deputy areas withinBPPT The task force will function as a mechanism to start theimplementation of the LSDE Master Plan

The work effort is shown below

Work DaysField Staff Chief of Party (Dr Dirk Lijesen) 135

Home Office Technical SupportSenior Engineer

Home Office AdministrativeBusiness Support 3216

Total

ARTICLE VI - RATIONSHIPS AND RESPONSIBILITIES

The contractor shall be responsible to the Mision DirectorUSAJakarta or his designee

Cooperating Coimtry Liaisoa Officials are Dr Harsono Wiryosushymarto Deputy Chairman for Technology Development and Dr LoloPanggabean Director PUSPIPTEK Energy Research Laboratory

AID Liaison officials0 Riordan are in USAIDJakarta Mr DesmondChief USAIDDES and in AIDW SampTEY Alan B Jacobs

ARTICLE VII- TERMOF PEFOR1WCE

The desired starting date is Janaury 13 1986 and theestimated completion date is September 30 1986

ARTICLE VIII - TOTAL OBLIGATED AMOUNT AND BUDGET

a Total Obligated Amount

The total amount obligated for the performance of this orderis $121975 The contractor shall not ezceed the total amount obligated

A-4 7

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

A-5 (6

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

-5-

ARTICLE V - STAFFING SCHEDULING AND LIAISON

Bechtel will make Dr D P Lijesen available to conduct anddirect the various tasks of this scope of services All serviceswill be conducted within a period equivalent to 135 working days To cooperate with Bechtel in the execution of all tasks BPPTLSDE will make available on a full time basis three BPPT staffmembers Together with Dr tLijesenstaff willhese membersoperate as a special task force to help develop detailed projectplans project priorities and the first annual operating plan forthe CCCT Division

The task force will work directly for USAIDIndonesia butclose liaison will be maintained with others In particular thetask force will receive information from other deputy areas withinBPPT The task force will function as a mechanism to start theimplementation of the LSDE Master Plan

The work effort is shown below

Work DaysField Staff Chief of Party (Dr Dirk Lijesen) 135

Home Office Technical SupportSenior Engineer

Home Office AdministrativeBusiness Support 3216

Total

ARTICLE VI - RATIONSHIPS AND RESPONSIBILITIES

The contractor shall be responsible to the Mision DirectorUSAJakarta or his designee

Cooperating Coimtry Liaisoa Officials are Dr Harsono Wiryosushymarto Deputy Chairman for Technology Development and Dr LoloPanggabean Director PUSPIPTEK Energy Research Laboratory

AID Liaison officials0 Riordan are in USAIDJakarta Mr DesmondChief USAIDDES and in AIDW SampTEY Alan B Jacobs

ARTICLE VII- TERMOF PEFOR1WCE

The desired starting date is Janaury 13 1986 and theestimated completion date is September 30 1986

ARTICLE VIII - TOTAL OBLIGATED AMOUNT AND BUDGET

a Total Obligated Amount

The total amount obligated for the performance of this orderis $121975 The contractor shall not ezceed the total amount obligated

A-4 7

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

A-5 (6

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

b Budget

Salaries and Wages $42239Fringe Benefits 14784Overhead 28476Travel transportation and Per Diem 2812Other Direct Costs 22084GampA 13917

Total Estimated Costs $ Fixed Fee W 12431Total Estimated Costs Fees $176j7Contractors Contribution (149768)

TOTAL $T7I 7 ARTICLE IX - EMERGENCY LOCATOR INFORMATION

The Contractor agrees to provide the following informazionthe Mission Administrative Officer on

to or before the arrival in thehost country of every contract employee or dependent

a The individuals full name home address and telephonenumber

b The name and number of the contract and whetherindividual is an employee or dependent

the

c The contractors name home office address and telephonenumber including any after-hours emergency number(s) and thename of the contractors home office staff member havingadministrative responsibility for the contract

d The name address and telephone number(s) of eachindividuals next of kin e Any special instructions pertaining emergencytosituations such as power-of-attorney designees or alternate contact persons

ARTICLE X - LOGISTIC SUPPORT

a USAIDJakarta will provide Embassy medical facilities tocontractors field staff upon compliance with the provisionsof USAID Notice No 103-84

b The cooperating country will provide the followinglogistical support under a separate local contract

a Office spaceb Office equipment c Interpreter7Secretar-al Services

c The contractor shall be responsible for all other logistical support

A-5 (6

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

-7

ARTiCLE Xl ACCESS TO CLASSIFIED fNFOPMA TOE

None

ARTICLE XII - DUTY POST

The primary place at employment under this work order isJaka+a Indonesia

ADqrh~ T NO 4 TO BASIC CONTRACT

Section B Article 1 Paragraph B

1 Delete $1718837 and insert $1800000 in its place 2 Delete $401159 and insert $523134 in lits place 3 Delete the total obligated amount of $2122436 andinsert $2323134 in its place

Section G Article II

I Add the following fiscal data under Paragraph A

PIOT No 6361153 and Amend 1Appropriation No 72-i1610216 Budget Plan Code DDAA-86-13600-DGIIAllomenpt Sym 646-36-099-00-20-61 Obligated Amount $81163Funding Source AIDWashington

2 Add the following fiscal data under Paz-agraph A PIOT No 497-0333-3-20310 Appropriation No 72-i2M1021Budget Plan Code HDAA-82-37497-DL13 EARCTLNO D30184Obligated Amount $121975Funding Source USAIDIndonesia

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

APPENDIXB

TA -AND ITABLEOFCONTENTS

ENIERGY RESEARCHREV IEPORT-

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

SURVEY OF ENERGY RESEARCH AT BPPT A PRELMNARY REVIEWAND EVALUATION

by

Ir Hari Suharyono Dra -Ina Miryanti

Ir Indyah Nurdyastutplusmn

Ir Endang Suarna Ir Fathor Raklhman IrYusak Lubis

Assisted By bull DR POP LLJESEN

Bechtel International Inc

Submitted to

LSDE St6eering Co tt

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

CONTEITS

Section Pauc

TInnt~ewTTrU1

I OBJEFCIVES 4

A NOTE ON TE WMINOLOGY THE WORDS PROJET 6 FROM AND PROJ PAPER

IV ENERGY RESEARCH hT BIFF 10 IV1 Approach 10 IV2 Starting Point 11 IV3 Project Descriptions

IV4 Observations 49shy

IV4l Research Planning 49 IV42 Type of Research 54 IV43 Research Plns and Budgets 57 1V44 Research Review and Coordination 58 IV45 Project Identification Information 60

and Documentation 1746 Utiization of Personnel and Tim 61

IV5 Energy Research Personnel 64

V A PROCESS FOR SCREENING P 71 AMD SETTING PRIORnIs

V CONCLUSIONS AND RECOEDATIONS 78 7V1 The Value to LSDE of Demonstration Projects 78 VI2 The Need for Cooperative Research Agreements 81 VI3 The Disposition of BPPT Energy Projects 84 VI4 The Need for Information Systems 88 VI5 Toward Improved Research Management 91 716 Continued Research Review and Evaluation 94 V77 A Discretionary Development Budget for LSDE 96

ApendiA Description of BPPTs Program in Energy

and Natural Resources

b-2

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

TABLES

Table a e

1 Project and Activities in the Field of Energy and Natural Resources as Reported by BPPT during RAZORNAS 86

12

2 Foreign Cooperation Program in Energy 16

3 Average Annual Foreign Tecnncaj Assistance in Energy (US Dollars)

17

4 Energy Projects listed by BAPPENAS for FT 8586 related to BPPTS Energy Research

Program

19

Prelimiaiy List of BPPT Energy Research Personnel

65

B-3

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

ILLUSTRATIONS

1 Concept of LSDE Masterplan Implementation i 3

2

3

Different Meanings of the Word Project

Conceptual Iustration of the Development the First Annual Plans and Budgets for LSDEi

6

bull 9

4 FY 8586 Budget for Energy Research at BPPT 14

50 BPPT Energy Projects by major ProgramArea 22

6 BPPTs Plannin S Process for Enez Rav mrrh 52

SimpIed Schematic of the Research Evaluation

Process 73

S

9

Recommended Disposition of WPT Energy Projects

Example of Project Iden fcation

86

91

mpLe oz Research Documentation System 92

B-4

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

APPENDIX C

SLIDE PRESENTATION TO

LSDE STEERING COMMITTEE

ON

REVIEWOF BPPT ENERGY PROJECTS

HELD ON

JUNE 19 1986

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

aRATIONALE FOR T-IS PROJECT

BEFLY

- REVIEW OF PROJECTS OBSERVATIONS RESEARCH PLANNING TYPE OF RESEARCH RESEARCH PLANS amp BUDGETS PROJECT IDENTIFICATION INFORMATION AND DOCUMENTATION UTILIZATION OF PERSONNEL AND TIME

o CONCLUSIONS amp RECOMMENDATIONS

- DEMONSTRATION PROJECTS - COOPERATION INRESEARCH - DISPOSITION OF BPPT ENERGY PROJECTS - IMPROVED RESEARCH MANAGEMENT

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

IJACARTA) WIPT FIJSPIPThE (JAKARTA)

5ASIC~ASI AM) IL~ APPLIED 1 ASICA1 1

lIflJSTRIAL IEJTIIAN4ALYSES 1IA ENERGY SYSTEMSAHALYEEI6ICCf l - E

1 TEIILmy DPD

CULERI(MG-

NTRAL IL~EEE

KEPPTE RESOURCES L~

CT EfERGY 5EI

UKJ

Flur IK NLDETTC IATiwiuu RCS DIVISIONEHATRLA LSDE UIL(3N

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

ConUa OF DIVIIONS)

LSDBPPT (A c OF PROYE-PROYEI)

LSDE SION (A CLUSTER OF PROGRAM AREAS)EX COMBUSTION

AND CMM1CAL CON7 SION

LTECH DIV

LSDEPROGRAMAREA (ACLUSTER OF PEWECT) EX COAL GASI -

FICATION

- I DIP PROYEX (A S OFSubproyek Sub proyek)

EX DIP No 151 01111428092401PENGDMNGAN SUM-BER rItampIAAN ALAM

-POSUB WE-DESCRIPTION

DEFINED RESEARCHUNDETAXrING) EX RESEARCH ON GASI-

FICATION OF BANKO COAL USING SUMI-TOMOs MOLTEN IRON TECEN DUR33G FY 84 - FY 88

POYEX cSINGLE

RBUDGET PURPOSE)El PEBANGUNAI pIL T

PLAN GASIFIXASI BATUBARA BANXO

Fipre 2- Dierent Meanings of th Word Project

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

FY 878 FY 95189ANIJN FLAIl AND PJIIAL PLAN NDl 1B(ET FAR LiDE PUDGET FOR LS(E

W-IPtEMIEDPROJECTS RE-Ff|IF-----S-- ---shy(FIRST) (SECOW)mITEHIHATIJH

EXISTIM UrpyENERG MCT ILLEBQ NO IL--AO I I Bx asNo 9lcN 2 -2

3 D

4 PRJCSCREENING 2l RWCHoslsoo RW O ogo~ d5i i TEERIN13 3

so

TE 33

WMEO PR YE11) -EII eeIss

PRO ECT AO LIST 24

-4EH11TCCSFECIFI t~ OIPPROEETA METCCSC IRLIAE)I NOmAU- -o 5 t

3) LSEE AST6IER A I TF MV ISTIIUIARA

SPECIFIC PROJECTS IN PROGRAM AREAS HEED TO41 AVAILABILITY WI-FOIILATEDOF ROIJTIHE BUDGOET IS COMMtKENT WONI cLWtIF BEIM IN9TITUTIUMLIZEU

FIGURE 3 C014CEPTUAL ILUSTRATIONI OF THE DVELIPw TIE FIRST ANIW PLANS AND DLIGiETS P01 LSTV

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

Nm DECISIONS ON wirIHBONES TO INCLUE

NEED DECISIONS ON PMEEAROKm mqT SysTmq EG - PROJECT DEINITION - PROJECT mANAM - TREATMENT OF TIME - PERSONN0 ALLOATION

PROJETMPLANS (PROJECT PAPRS)

NEW IN TIATI _ _PRJEPLANS

(PROJECT PAPERS)

ANN_________

NEED DEiISIONS ON WHAT TO BE MOE IN FY 87a8 BASED ON AVAILABL - STAFF - BUDGET

ST ING SET 56

-ST-RTING

FOR IPPROEK

BAENAS SEX-NEG F NANCE

~T2L ~DECISIONS ON DIP PROMJ NO ANDORNI ATzoN

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

WmELMIEHVon AMOFLf~~DFK IDET~~ tF DE O nff 9Th anlOFMM SU9F1ROYE on mFnitR FM M o S~

gUOpROVEg Po FOR sUwpoyugOS LAFRILOF (AUiQ - SEPTI (APRIL)IIECELMWITIFI~

APP~~~EU TM

FRDOYR

BE3EwT Fat DIP rDowxIEr-(l

REVIEUR NVIE BY P A~lrIM I Y

LrIWFBkAHAGElm JIDEFEIZEE IERKDS WSIAESE YVF G WLIt LI MITEDU

- IIIJRCNbyaECK B EIE

ft ExP1IALPRung HAMR -1E UF M I E UP

No PIUITEN ErsFL HIDlnu M lDG SE

TO A

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

RVI EW OF PROJECTS

o COUNTED SOME 65 PROJECTS

o INALL STAGES OF DEVELOPMENT

o EXACT STATUS QUITE UNCLEAR

o PROGRAM OF VERY BROAD SCOPE

o WELL OVER100 RESEARCHERS IN AT LEAST 4DEPU YAREASshy

o DIP BUDGET ABOUT 14 OF TOTAL BPPT DIP BUDGET

6 TOTAL PROGRAM IN 8687 COMPARABLE TO A $18 8$5TO$ MI LION RESEARCH OPERATION

o MOST STRIKING LACK UF FULLOW UP PLANNING (IE THE SO WHAT bull QUESTION)

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

o RESEARCH PLANNING - QUITE INFORMAL - LIMITED RATIONALE - NO LONGTERM PLAN - FOCUS ON BUDGETS

oIYPE OF RESEARCH - MOSTLY DEMONSTRATION - LEARNING EXPERIENCE - AS OF YET LIMITED TIE TO REALWORLD

o RESEARCH PLANS amp BUDGETS ONLY PLAN ISINDIP TOR

- BUDGETS HARD TO TRACK RIGID BUDGET SYSTEM

- NO DISCRETIONARY BUDGET

o REVIEWg COORDINATION - INTERNAL REVIEW SYSTEM HARDLY UTILIZED - MOST CRTICAL RtVIEW BY BAPPENAS SEKNEG FINANCE - COORDINATION BETWEEN DEP AREAS amp AGENCIES LIMITED

PROJECT IDENTIFICATION AND INFORMATION - NO FORMAL SYSTEMS - DIFFICULT TO TRACK PROJECT EXECUTION amp PROGRESS - INPARTICULAR PROJECT DOCUMENTATION (REPORTS) ISPROBLEM AREA

UTIL17ATION OF PERSONNEL AND TIM-shy

- PERSONNEL ALLOCATION ONCE A YEAR (SK) - LIMITED FORMAL MATCHING OF PERSONNEL TO PROJECT TASKS

TERMS OF SKILLS AND TIME REQUIRED IN

- NO ESTIMATE OF TIME IN MANHOURS FOR PROJECT EXECUTION

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

DEMONSTRATION PROJFCTS (SOME 31 OUT OF 65)

- GREAT FOR LSDE LEARNING EXP FOR STAFF OUTWARD ORIENTATION COOPERATIONWITH OTHERS EVALUATION DATA BASE TIE TO INDUSTRY

oSPECIAL PROGRAM AREA OR SPECIAL DIVISION o NETWORK OF DEMONSTRATION VI LLAGES o COOPERATE WITH INDUSTRY (INVITE ASSISTANCE) o CHANGE FOCUS TO

- DEMONSTRATE EVALUATE

- DESIGN FOLLOW ON PROGRAM

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

COOPERATIE RESEARCH AGREEMENTS (CRA)

o ENERGY NOT NECESSARILY IN 1PLACE o OK AS LONG AS THERE ISCOORDINATIONCOoPERATION

BUT THIS ISNAIVE DOES NOT WORK STAFF EXPERIENCES PROBLEMS BETWEEN DEP ARESi IOR BETWEEN AGENCIES

STILL IMPORTANT

CONFLICTS EXCHANGE OF PERSONNEL OPPORTUNITY TO CREATE MARKETCLIENTS--

THEREFORE TRY AGAIN

INITIATION AT HIGHEST LEVEL STUDY amp RESEARCH BY LSDESTAFF FORMAL CRA

- FOCUS ON WORK BYLSDE ampCOOP PARTY - SPECIFIC MEANS SUCH AS

PERSONNEL TIME BUDGET

- SIGNED AT HIGHESTLEVEL

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

C_A RIEARCH AREA

LSI DJ= a oog Consertou o Wood Energy VIllage

(Lmtoro Project) a Renewable Enery Research

o CoalU3 a (eog briJquattiLu)

o Anlyt Aetl Coal Laboratory o Pest Rseearch

o COM Combueion

o inLhydro Devlopx t o Getharmco Energ Village

LD-o0 wmmblEnergy Developm

n-0 Fluaidized Bed Combustim

Natawl Sam vilage o Utilzation of Gasohol

LSD -1W (Deputy Area far a Coal ftltIm NatraLL Resource) (e-g briqueetig)

a Bunko Coal Projec o Coal Combustion o Wood CO-coa Producio

o Peat Research o Geotherzm Energy Vilage o Nsturl Gas Village

LuD EMPI (Deputy Area for o Ituhyr evelopumntTechmolog Develd=o ) a L=oroWatey uth Ie rh

LID - P (Deputy Area for 0 Solid Vaste Luagrat n SytM= Amalyess)

LIDDC0- B Eth amn o a g e Producti o 0 UtilizatIOn of asohol

DISPOSTION CRITERIA

0 DEMONSTRATION PUJLT IN LSDE TECHNOLOGY DEMONSTRATION DIVISION

o EQUIPMENT RELATED RESEARCHIiN LSDE

o KKE RESEARCH TO LSDEl(I PNERAPAN ENERGI TEKNOLOGI EFFORTS)

o FORMALLY TERMINATE PROJECTS NOT LONGER ACTIVE

o TRANSfER PROJECTSTo OTHER BPPT UPTsO-BPPTOF PROER

RE - 3 T OUN TO R AIN N PPTDEpUYAR EASR

BANKO COAL PROJECTI

NAT L1ERES COMB g CHMCOy NDry

D MASTERPLAN FOR 2U EXPERIMENTATION WITHBANKO COAL DEV SUMITOMO PROCESS

- INDUSTRIAL COMPLEX - USE OF PILOT PLANT - GASIFICATION FOR - TEST CAMPAIGN

PRODUCTION OF CHEMICALS - LEARNING - GASIFICATIONCOMBUSTIOr - POSSIBLE USE IN OTHER

FOR POWER PRODUCTION - GASIFICATION RESEARCHUSE OF PILOT PLANT RESULTS -GNRTOOGENERATION OF PILOTIOPLANT RESULTS

o COOPERATION IS MOST NATURAL COURSE OF ACTIONo BPPTNAT RESOURCES ISLSDEs CLIENT0 CRA SPELLS OUT TERMS OF COOPERATION A iZi

WITHIN CONTEXT OF CRA BPPT STAFF FROMRESOURCES CAN BE ASSOCIATED NAT

WITH TESTING ICECOMPLETED STAFF RETURNS TO DEPUTY AREA LSDE-CANPROVIDE TRAINING SUPPORTED BY USAID

1

IMPROVED RESEARCH MANAGEMENT

o PROJECT DEFINITION

0 PROJECT IDINTTFTCATION

o PROJECT PAPER

o PROJECT MANAGER

o PLANNINGTASKS TIME ESTIMATION

o EXECUTIN TASKS TIMERECORD

SPERSONNEL ALLOCATION

o PROJECT SCHEDULE- DETAi

o PROJECT INFO SYSTEV

RELATIONSHIP TO DIP PLANNING PROCESS

000 0 0 -0 00

LETERTa IJTFCI IM~ HUO-

II

REFEMUIM TCiGANIZA-If -TUJCAT ION OFPROECT

EG

D 1 DIRECTORIB OFFICE AD I ADM DIVISION ESCTI EHERNY SYSTES

NAILrSIS AND CONS DIVISION

CCCT CGI40 ND CHM CDIIW TECIH-DIVISION

1METI1ttECt Em IECM-I DIVISION

SP1CTI Pv COIV TECII DIVISION

IDENTIFICATI

REFEMEIII TO AO 1Plfl2iM VITHiN OiR OCATION

EG

IN Ccci NO 3 REFERS TO RESEARCH IN GASEOLS FUELS

IETRHMO

I TIFICAION

EFERIM|I TO SMPCIFIC P~ ARP~3EA Vim IN AM~IOR TECIIcly GMGL IH

E

UQ S REFERS TO W GASIFICATION

EXAMPLE 11AIIO COAL GASIFICATIO3N POW=C

0 0 0 0000 0 0 0 a

FI- -Il Ii I

I ue

I IDETIFICATI I IFIATIO

TALPR ECT NUMERIN P WIC ECT STARTEDRc NA WHIC WJECr EMDSO E I

I CCCT- - WMAS I NI-

116M 19 EXAMMt 0 PROJIECTITIFICATION

I - --iii

C3 Us

Thermal Upgrading of LowRank Coal A Pmcess-Screening Study

Owlt-ran

dZ-~

RPgtM 10 Example of Researchz Docntatjon System

-92 shy

sLtOE IT

DECIS1ONSCONCURRENCE TO BE 0-TANE FROM STEER INQ COMM IIE

a LSDE PROJECTS INCLUDE MORE THAN WHAT CURRENTLY KKE

IS GOING ON IN

o APPROVAL TO OBTAINW FnP I nr ACAP

o TRY TO OBTAIN DISCRETIONARY BUDGET

(sING REPORT AS BASISJIDFLINE)

oDEVELOP DEFINITIVE LIST OF LSDE PROJECTSASAP

IMPROVE RESEARCH MANAGEMENT SYSTEM

o INITIATE WORK Tn FSTABLISH BETTER COORDINATIONCOOPERATION

oOFoCUS ONLSDE ANNUAL PLAN DEVELOPMENT

ASAP

APPENDIX D

CONTINUED LSDE DEVELOPMENT

PROPOSED PROJECT TEAN

o PROPOSED PROJECT MILESTONES

o SUMMARY PROPOSED DEVELOPMENT SCHEDUL]

---

M]V OFFICEIFO SYSTESI

Project ManagementIdentification - Documentation - Rev amp Control Report Management Documentation Librlry System PoliciesProcedures

LSlE OPERATIONS

I PROJECT MNG

I

I

PROJECT EMNONEERV (DAY TO DAYNANASIENT) I

I II I IIOFFICEITHENT OFRMTHNTN ampF I FFICE

IECI NI amp If I I OFFICEMGNI IMTIMM L leI FACILITIES OFFII

LWI PRATIONS ampIIII

I o Training PlanI I o Dev of SK- Academic I M II o Scope of LS aster Plan LSDE o Organize SerpongProgram a Annual PlanI - Technical I Areas I o Procure EquipmentI o Recruitment Longterm I ODrganization

I 0 Research Priorities I o Maintenance o Routine BudgetI o Tie with T II I o Cooperation amp Coordi-I 9 o Training

I o UlSAIndonesia DIP Budget 0o Budgets for Spare-I nation with BPPT and IVo English Training I I 9 partsltootl etcothers outside I 0 Evaluation amp Guidancel bull II I I

I Il I 5 YR TRAINING A LE PLAN FOR A WRNlo

NIC__n___ I ISER COuTTEEl I FY 138B9I PRORbull II - DOIINO CIUHITrEI I bull LAB AT SEPOMl IEDlXETS - I

-

I FIlANCE OFFHRCT

I SU AID Contrac oo Battelle Contri

I o Other Contract I I

I

I EXPEDITE amp

I FACILITATE I shyl

PROJECT MILESTONES

I OFFICIAL OPENING OF LSDE APRIL 1 1988

II INITIAL CONDITIONS TO BE MET IMMEDIATELY (JULYAUG 1986)

- REVISE OLD PPXJECT SK (1982) TO FORM PROJECT TEAM - LpFAofipound PROJECT ENGINEER

INFO SYSTEMS DEV OFFICER TRAINING amp RECRUITMENT OFFICER INST DEV OFFICER

PLANNING OFFICER OPERATIONS amp FACILITIES OFFICER

CONTRACTS amp FINANCE OFFICER - ESTABLISH PROJECT OPERATIONS OFFICE AT SERPONG - ESTABLISH PROJECT OPERATIONS OFFICE AT JAKARTA - OBTAIN BATTELLE CONCEPTUAL DESIGN PACKAGE - DETERMINE PROJECT TO BE MOVED TO SltRPONG NOW - DEVELOP COORDINATIONCOOPERATION PLAN FOR LSDE - OBTAIN STEERING COMMITTEE APPROVAL FOR COORDINATIONCOOPERATION PLAI - SCOPE IND EN USE STUDYCONTRACT (3MONTH STUDY)

Ill PROGRESS MILESTONES (CONFIDENCE BUILDERS)

- DRAFT UPT SK DECEMBER 1 1986 - UPT SK FOR LSDE SIGNED BY PROFDRING BJ HABIBIE MARCH 1 1987 - DRAFT 5 YR TR amp RECRUITMENT PROGRAM MARCH 1 1987 - TR amp RECRUITMENT PLAN amp CONTRACTS IN PLACE JUNE 1 1987 - DRAFT OPERATIONS MANUAL MARCH 1 1987 - FINAL OPERATIONS MANUAL JUNE 1 1987 - DETAILED SPACE PLAN FOR SERPONG OCTOBER 1 1986- SUFFICIENT TRAINED SUPPORT STAFF amp FACILITIES MARCH 1 1987 - PLAN TO MEET REMAINING SUPPORT REQUIREMENTS JUNE 1 1987 - STUDY RESULTS NOVEMBER 1 1986

PRIORITY USER INDUSTRIES INITIAL LSDEPRIORITY RESEARCH AREAS RESEARCH PRIORITIES

- 1ST LSDE USER MEETING DECEMBER 1986 - 1ST LSDE DONOR MEETING JANUARY 1987

IV FUELS amp COMBUSTION EQUIPMENT

- AWARD EQUIPMENT CONTRACT MARCH 1 1987 - COMPLETION EQUIPMENT CONTRACT APRIL 1Q99

__ __ __

2986 uJsK 2987E - pound9 --- K LuI LU L---U-IMI C U

DSATSJ

fPT SKI v ato reop -pSART T AII I ITRA IN PLACECNTRACTSTRAIOBi IN MAEIMS RII-r Training ampM Snna nS I roramI Professional I RT- RAININI

Tech S4pporl E Admin Support I LEDIP ROUT FONB amp DIPII I J UGET FOR-FY Sal gIOBTAIN FYS7l8 Ke2pMe DBUM e

OBTAIN FUH1iBI I MjTO ampPPCRT P13ETSAT SEM-06(Note ILIS E ProJect Needs DIP FMOto Support Project Team) DIP MLIIETr FOBR LABORATORYy LSDE k MANS FOR FU8BIS

IAiNNAL PALM4IN13E)MCISE IVXII FIFO Y741 ltA3rMA TIOS PLA LFINAL FMIles 4 Y88s AtWAL II LeNSVE I H A M J L I VFI 1NDF ROCEMI bull ETAILE I SLFFICIErTSUptT PLAN TO EFT Ii rSACE IPLANE 4STAFF A FACILITIES SLvp=rr RED

IL ITIGANIZBACILITIES SEROW INITILa TRAINING A GDN oG shyPR(X WNTI DECISION I LI MJ SAIL I REPARE PRODjEMr F A60M EWIPPE PROCM ENT F A COW EfuIPEwIif- rg __A C START

F CUM RFEARCI I I I

I II T IDSTUDY REMUIS I ERI I N1 I IIPROJECT PRIORITIES IEETItng rEETING I

__ __ __ I _ __ _ __ I__ __ _

I LSDE HAS DIJILT RELATION S1HIPS

F PriorItytiJsr industries I - Pio ItvR~esearch Areas

APRIl I tons

IMPROVED RESEARCH MANAGEMENT

o PROJECT DEFINITION

0 PROJECT IDINTTFTCATION

o PROJECT PAPER

o PROJECT MANAGER

o PLANNINGTASKS TIME ESTIMATION

o EXECUTIN TASKS TIMERECORD

SPERSONNEL ALLOCATION

o PROJECT SCHEDULE- DETAi

o PROJECT INFO SYSTEV

RELATIONSHIP TO DIP PLANNING PROCESS

000 0 0 -0 00

LETERTa IJTFCI IM~ HUO-

II

REFEMUIM TCiGANIZA-If -TUJCAT ION OFPROECT

EG

D 1 DIRECTORIB OFFICE AD I ADM DIVISION ESCTI EHERNY SYSTES

NAILrSIS AND CONS DIVISION

CCCT CGI40 ND CHM CDIIW TECIH-DIVISION

1METI1ttECt Em IECM-I DIVISION

SP1CTI Pv COIV TECII DIVISION

IDENTIFICATI

REFEMEIII TO AO 1Plfl2iM VITHiN OiR OCATION

EG

IN Ccci NO 3 REFERS TO RESEARCH IN GASEOLS FUELS

IETRHMO

I TIFICAION

EFERIM|I TO SMPCIFIC P~ ARP~3EA Vim IN AM~IOR TECIIcly GMGL IH

E

UQ S REFERS TO W GASIFICATION

EXAMPLE 11AIIO COAL GASIFICATIO3N POW=C

0 0 0 0000 0 0 0 a

FI- -Il Ii I

I ue

I IDETIFICATI I IFIATIO

TALPR ECT NUMERIN P WIC ECT STARTEDRc NA WHIC WJECr EMDSO E I

I CCCT- - WMAS I NI-

116M 19 EXAMMt 0 PROJIECTITIFICATION

I - --iii

C3 Us

Thermal Upgrading of LowRank Coal A Pmcess-Screening Study

Owlt-ran

dZ-~

RPgtM 10 Example of Researchz Docntatjon System

-92 shy

sLtOE IT

DECIS1ONSCONCURRENCE TO BE 0-TANE FROM STEER INQ COMM IIE

a LSDE PROJECTS INCLUDE MORE THAN WHAT CURRENTLY KKE

IS GOING ON IN

o APPROVAL TO OBTAINW FnP I nr ACAP

o TRY TO OBTAIN DISCRETIONARY BUDGET

(sING REPORT AS BASISJIDFLINE)

oDEVELOP DEFINITIVE LIST OF LSDE PROJECTSASAP

IMPROVE RESEARCH MANAGEMENT SYSTEM

o INITIATE WORK Tn FSTABLISH BETTER COORDINATIONCOOPERATION

oOFoCUS ONLSDE ANNUAL PLAN DEVELOPMENT

ASAP

APPENDIX D

CONTINUED LSDE DEVELOPMENT

PROPOSED PROJECT TEAN

o PROPOSED PROJECT MILESTONES

o SUMMARY PROPOSED DEVELOPMENT SCHEDUL]

---

M]V OFFICEIFO SYSTESI

Project ManagementIdentification - Documentation - Rev amp Control Report Management Documentation Librlry System PoliciesProcedures

LSlE OPERATIONS

I PROJECT MNG

I

I

PROJECT EMNONEERV (DAY TO DAYNANASIENT) I

I II I IIOFFICEITHENT OFRMTHNTN ampF I FFICE

IECI NI amp If I I OFFICEMGNI IMTIMM L leI FACILITIES OFFII

LWI PRATIONS ampIIII

I o Training PlanI I o Dev of SK- Academic I M II o Scope of LS aster Plan LSDE o Organize SerpongProgram a Annual PlanI - Technical I Areas I o Procure EquipmentI o Recruitment Longterm I ODrganization

I 0 Research Priorities I o Maintenance o Routine BudgetI o Tie with T II I o Cooperation amp Coordi-I 9 o Training

I o UlSAIndonesia DIP Budget 0o Budgets for Spare-I nation with BPPT and IVo English Training I I 9 partsltootl etcothers outside I 0 Evaluation amp Guidancel bull II I I

I Il I 5 YR TRAINING A LE PLAN FOR A WRNlo

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I OFFICIAL OPENING OF LSDE APRIL 1 1988

II INITIAL CONDITIONS TO BE MET IMMEDIATELY (JULYAUG 1986)

- REVISE OLD PPXJECT SK (1982) TO FORM PROJECT TEAM - LpFAofipound PROJECT ENGINEER

INFO SYSTEMS DEV OFFICER TRAINING amp RECRUITMENT OFFICER INST DEV OFFICER

PLANNING OFFICER OPERATIONS amp FACILITIES OFFICER

CONTRACTS amp FINANCE OFFICER - ESTABLISH PROJECT OPERATIONS OFFICE AT SERPONG - ESTABLISH PROJECT OPERATIONS OFFICE AT JAKARTA - OBTAIN BATTELLE CONCEPTUAL DESIGN PACKAGE - DETERMINE PROJECT TO BE MOVED TO SltRPONG NOW - DEVELOP COORDINATIONCOOPERATION PLAN FOR LSDE - OBTAIN STEERING COMMITTEE APPROVAL FOR COORDINATIONCOOPERATION PLAI - SCOPE IND EN USE STUDYCONTRACT (3MONTH STUDY)

Ill PROGRESS MILESTONES (CONFIDENCE BUILDERS)

- DRAFT UPT SK DECEMBER 1 1986 - UPT SK FOR LSDE SIGNED BY PROFDRING BJ HABIBIE MARCH 1 1987 - DRAFT 5 YR TR amp RECRUITMENT PROGRAM MARCH 1 1987 - TR amp RECRUITMENT PLAN amp CONTRACTS IN PLACE JUNE 1 1987 - DRAFT OPERATIONS MANUAL MARCH 1 1987 - FINAL OPERATIONS MANUAL JUNE 1 1987 - DETAILED SPACE PLAN FOR SERPONG OCTOBER 1 1986- SUFFICIENT TRAINED SUPPORT STAFF amp FACILITIES MARCH 1 1987 - PLAN TO MEET REMAINING SUPPORT REQUIREMENTS JUNE 1 1987 - STUDY RESULTS NOVEMBER 1 1986

PRIORITY USER INDUSTRIES INITIAL LSDEPRIORITY RESEARCH AREAS RESEARCH PRIORITIES

- 1ST LSDE USER MEETING DECEMBER 1986 - 1ST LSDE DONOR MEETING JANUARY 1987

IV FUELS amp COMBUSTION EQUIPMENT

- AWARD EQUIPMENT CONTRACT MARCH 1 1987 - COMPLETION EQUIPMENT CONTRACT APRIL 1Q99

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o TRY TO OBTAIN DISCRETIONARY BUDGET

(sING REPORT AS BASISJIDFLINE)

oDEVELOP DEFINITIVE LIST OF LSDE PROJECTSASAP

IMPROVE RESEARCH MANAGEMENT SYSTEM

o INITIATE WORK Tn FSTABLISH BETTER COORDINATIONCOOPERATION

oOFoCUS ONLSDE ANNUAL PLAN DEVELOPMENT

ASAP

APPENDIX D

CONTINUED LSDE DEVELOPMENT

PROPOSED PROJECT TEAN

o PROPOSED PROJECT MILESTONES

o SUMMARY PROPOSED DEVELOPMENT SCHEDUL]

---

M]V OFFICEIFO SYSTESI

Project ManagementIdentification - Documentation - Rev amp Control Report Management Documentation Librlry System PoliciesProcedures

LSlE OPERATIONS

I PROJECT MNG

I

I

PROJECT EMNONEERV (DAY TO DAYNANASIENT) I

I II I IIOFFICEITHENT OFRMTHNTN ampF I FFICE

IECI NI amp If I I OFFICEMGNI IMTIMM L leI FACILITIES OFFII

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I o UlSAIndonesia DIP Budget 0o Budgets for Spare-I nation with BPPT and IVo English Training I I 9 partsltootl etcothers outside I 0 Evaluation amp Guidancel bull II I I

I Il I 5 YR TRAINING A LE PLAN FOR A WRNlo

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-

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I o Other Contract I I

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PROJECT MILESTONES

I OFFICIAL OPENING OF LSDE APRIL 1 1988

II INITIAL CONDITIONS TO BE MET IMMEDIATELY (JULYAUG 1986)

- REVISE OLD PPXJECT SK (1982) TO FORM PROJECT TEAM - LpFAofipound PROJECT ENGINEER

INFO SYSTEMS DEV OFFICER TRAINING amp RECRUITMENT OFFICER INST DEV OFFICER

PLANNING OFFICER OPERATIONS amp FACILITIES OFFICER

CONTRACTS amp FINANCE OFFICER - ESTABLISH PROJECT OPERATIONS OFFICE AT SERPONG - ESTABLISH PROJECT OPERATIONS OFFICE AT JAKARTA - OBTAIN BATTELLE CONCEPTUAL DESIGN PACKAGE - DETERMINE PROJECT TO BE MOVED TO SltRPONG NOW - DEVELOP COORDINATIONCOOPERATION PLAN FOR LSDE - OBTAIN STEERING COMMITTEE APPROVAL FOR COORDINATIONCOOPERATION PLAI - SCOPE IND EN USE STUDYCONTRACT (3MONTH STUDY)

Ill PROGRESS MILESTONES (CONFIDENCE BUILDERS)

- DRAFT UPT SK DECEMBER 1 1986 - UPT SK FOR LSDE SIGNED BY PROFDRING BJ HABIBIE MARCH 1 1987 - DRAFT 5 YR TR amp RECRUITMENT PROGRAM MARCH 1 1987 - TR amp RECRUITMENT PLAN amp CONTRACTS IN PLACE JUNE 1 1987 - DRAFT OPERATIONS MANUAL MARCH 1 1987 - FINAL OPERATIONS MANUAL JUNE 1 1987 - DETAILED SPACE PLAN FOR SERPONG OCTOBER 1 1986- SUFFICIENT TRAINED SUPPORT STAFF amp FACILITIES MARCH 1 1987 - PLAN TO MEET REMAINING SUPPORT REQUIREMENTS JUNE 1 1987 - STUDY RESULTS NOVEMBER 1 1986

PRIORITY USER INDUSTRIES INITIAL LSDEPRIORITY RESEARCH AREAS RESEARCH PRIORITIES

- 1ST LSDE USER MEETING DECEMBER 1986 - 1ST LSDE DONOR MEETING JANUARY 1987

IV FUELS amp COMBUSTION EQUIPMENT

- AWARD EQUIPMENT CONTRACT MARCH 1 1987 - COMPLETION EQUIPMENT CONTRACT APRIL 1Q99

__ __ __

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OBTAIN FUH1iBI I MjTO ampPPCRT P13ETSAT SEM-06(Note ILIS E ProJect Needs DIP FMOto Support Project Team) DIP MLIIETr FOBR LABORATORYy LSDE k MANS FOR FU8BIS

IAiNNAL PALM4IN13E)MCISE IVXII FIFO Y741 ltA3rMA TIOS PLA LFINAL FMIles 4 Y88s AtWAL II LeNSVE I H A M J L I VFI 1NDF ROCEMI bull ETAILE I SLFFICIErTSUptT PLAN TO EFT Ii rSACE IPLANE 4STAFF A FACILITIES SLvp=rr RED

IL ITIGANIZBACILITIES SEROW INITILa TRAINING A GDN oG shyPR(X WNTI DECISION I LI MJ SAIL I REPARE PRODjEMr F A60M EWIPPE PROCM ENT F A COW EfuIPEwIif- rg __A C START

F CUM RFEARCI I I I

I II T IDSTUDY REMUIS I ERI I N1 I IIPROJECT PRIORITIES IEETItng rEETING I

__ __ __ I _ __ _ __ I__ __ _

I LSDE HAS DIJILT RELATION S1HIPS

F PriorItytiJsr industries I - Pio ItvR~esearch Areas

APRIl I tons

Thermal Upgrading of LowRank Coal A Pmcess-Screening Study

Owlt-ran

dZ-~

RPgtM 10 Example of Researchz Docntatjon System

-92 shy

sLtOE IT

DECIS1ONSCONCURRENCE TO BE 0-TANE FROM STEER INQ COMM IIE

a LSDE PROJECTS INCLUDE MORE THAN WHAT CURRENTLY KKE

IS GOING ON IN

o APPROVAL TO OBTAINW FnP I nr ACAP

o TRY TO OBTAIN DISCRETIONARY BUDGET

(sING REPORT AS BASISJIDFLINE)

oDEVELOP DEFINITIVE LIST OF LSDE PROJECTSASAP

IMPROVE RESEARCH MANAGEMENT SYSTEM

o INITIATE WORK Tn FSTABLISH BETTER COORDINATIONCOOPERATION

oOFoCUS ONLSDE ANNUAL PLAN DEVELOPMENT

ASAP

APPENDIX D

CONTINUED LSDE DEVELOPMENT

PROPOSED PROJECT TEAN

o PROPOSED PROJECT MILESTONES

o SUMMARY PROPOSED DEVELOPMENT SCHEDUL]

---

M]V OFFICEIFO SYSTESI

Project ManagementIdentification - Documentation - Rev amp Control Report Management Documentation Librlry System PoliciesProcedures

LSlE OPERATIONS

I PROJECT MNG

I

I

PROJECT EMNONEERV (DAY TO DAYNANASIENT) I

I II I IIOFFICEITHENT OFRMTHNTN ampF I FFICE

IECI NI amp If I I OFFICEMGNI IMTIMM L leI FACILITIES OFFII

LWI PRATIONS ampIIII

I o Training PlanI I o Dev of SK- Academic I M II o Scope of LS aster Plan LSDE o Organize SerpongProgram a Annual PlanI - Technical I Areas I o Procure EquipmentI o Recruitment Longterm I ODrganization

I 0 Research Priorities I o Maintenance o Routine BudgetI o Tie with T II I o Cooperation amp Coordi-I 9 o Training

I o UlSAIndonesia DIP Budget 0o Budgets for Spare-I nation with BPPT and IVo English Training I I 9 partsltootl etcothers outside I 0 Evaluation amp Guidancel bull II I I

I Il I 5 YR TRAINING A LE PLAN FOR A WRNlo

NIC__n___ I ISER COuTTEEl I FY 138B9I PRORbull II - DOIINO CIUHITrEI I bull LAB AT SEPOMl IEDlXETS - I

-

I FIlANCE OFFHRCT

I SU AID Contrac oo Battelle Contri

I o Other Contract I I

I

I EXPEDITE amp

I FACILITATE I shyl

PROJECT MILESTONES

I OFFICIAL OPENING OF LSDE APRIL 1 1988

II INITIAL CONDITIONS TO BE MET IMMEDIATELY (JULYAUG 1986)

- REVISE OLD PPXJECT SK (1982) TO FORM PROJECT TEAM - LpFAofipound PROJECT ENGINEER

INFO SYSTEMS DEV OFFICER TRAINING amp RECRUITMENT OFFICER INST DEV OFFICER

PLANNING OFFICER OPERATIONS amp FACILITIES OFFICER

CONTRACTS amp FINANCE OFFICER - ESTABLISH PROJECT OPERATIONS OFFICE AT SERPONG - ESTABLISH PROJECT OPERATIONS OFFICE AT JAKARTA - OBTAIN BATTELLE CONCEPTUAL DESIGN PACKAGE - DETERMINE PROJECT TO BE MOVED TO SltRPONG NOW - DEVELOP COORDINATIONCOOPERATION PLAN FOR LSDE - OBTAIN STEERING COMMITTEE APPROVAL FOR COORDINATIONCOOPERATION PLAI - SCOPE IND EN USE STUDYCONTRACT (3MONTH STUDY)

Ill PROGRESS MILESTONES (CONFIDENCE BUILDERS)

- DRAFT UPT SK DECEMBER 1 1986 - UPT SK FOR LSDE SIGNED BY PROFDRING BJ HABIBIE MARCH 1 1987 - DRAFT 5 YR TR amp RECRUITMENT PROGRAM MARCH 1 1987 - TR amp RECRUITMENT PLAN amp CONTRACTS IN PLACE JUNE 1 1987 - DRAFT OPERATIONS MANUAL MARCH 1 1987 - FINAL OPERATIONS MANUAL JUNE 1 1987 - DETAILED SPACE PLAN FOR SERPONG OCTOBER 1 1986- SUFFICIENT TRAINED SUPPORT STAFF amp FACILITIES MARCH 1 1987 - PLAN TO MEET REMAINING SUPPORT REQUIREMENTS JUNE 1 1987 - STUDY RESULTS NOVEMBER 1 1986

PRIORITY USER INDUSTRIES INITIAL LSDEPRIORITY RESEARCH AREAS RESEARCH PRIORITIES

- 1ST LSDE USER MEETING DECEMBER 1986 - 1ST LSDE DONOR MEETING JANUARY 1987

IV FUELS amp COMBUSTION EQUIPMENT

- AWARD EQUIPMENT CONTRACT MARCH 1 1987 - COMPLETION EQUIPMENT CONTRACT APRIL 1Q99

__ __ __

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Tech S4pporl E Admin Support I LEDIP ROUT FONB amp DIPII I J UGET FOR-FY Sal gIOBTAIN FYS7l8 Ke2pMe DBUM e

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F CUM RFEARCI I I I

I II T IDSTUDY REMUIS I ERI I N1 I IIPROJECT PRIORITIES IEETItng rEETING I

__ __ __ I _ __ _ __ I__ __ _

I LSDE HAS DIJILT RELATION S1HIPS

F PriorItytiJsr industries I - Pio ItvR~esearch Areas

APRIl I tons

sLtOE IT

DECIS1ONSCONCURRENCE TO BE 0-TANE FROM STEER INQ COMM IIE

a LSDE PROJECTS INCLUDE MORE THAN WHAT CURRENTLY KKE

IS GOING ON IN

o APPROVAL TO OBTAINW FnP I nr ACAP

o TRY TO OBTAIN DISCRETIONARY BUDGET

(sING REPORT AS BASISJIDFLINE)

oDEVELOP DEFINITIVE LIST OF LSDE PROJECTSASAP

IMPROVE RESEARCH MANAGEMENT SYSTEM

o INITIATE WORK Tn FSTABLISH BETTER COORDINATIONCOOPERATION

oOFoCUS ONLSDE ANNUAL PLAN DEVELOPMENT

ASAP

APPENDIX D

CONTINUED LSDE DEVELOPMENT

PROPOSED PROJECT TEAN

o PROPOSED PROJECT MILESTONES

o SUMMARY PROPOSED DEVELOPMENT SCHEDUL]

---

M]V OFFICEIFO SYSTESI

Project ManagementIdentification - Documentation - Rev amp Control Report Management Documentation Librlry System PoliciesProcedures

LSlE OPERATIONS

I PROJECT MNG

I

I

PROJECT EMNONEERV (DAY TO DAYNANASIENT) I

I II I IIOFFICEITHENT OFRMTHNTN ampF I FFICE

IECI NI amp If I I OFFICEMGNI IMTIMM L leI FACILITIES OFFII

LWI PRATIONS ampIIII

I o Training PlanI I o Dev of SK- Academic I M II o Scope of LS aster Plan LSDE o Organize SerpongProgram a Annual PlanI - Technical I Areas I o Procure EquipmentI o Recruitment Longterm I ODrganization

I 0 Research Priorities I o Maintenance o Routine BudgetI o Tie with T II I o Cooperation amp Coordi-I 9 o Training

I o UlSAIndonesia DIP Budget 0o Budgets for Spare-I nation with BPPT and IVo English Training I I 9 partsltootl etcothers outside I 0 Evaluation amp Guidancel bull II I I

I Il I 5 YR TRAINING A LE PLAN FOR A WRNlo

NIC__n___ I ISER COuTTEEl I FY 138B9I PRORbull II - DOIINO CIUHITrEI I bull LAB AT SEPOMl IEDlXETS - I

-

I FIlANCE OFFHRCT

I SU AID Contrac oo Battelle Contri

I o Other Contract I I

I

I EXPEDITE amp

I FACILITATE I shyl

PROJECT MILESTONES

I OFFICIAL OPENING OF LSDE APRIL 1 1988

II INITIAL CONDITIONS TO BE MET IMMEDIATELY (JULYAUG 1986)

- REVISE OLD PPXJECT SK (1982) TO FORM PROJECT TEAM - LpFAofipound PROJECT ENGINEER

INFO SYSTEMS DEV OFFICER TRAINING amp RECRUITMENT OFFICER INST DEV OFFICER

PLANNING OFFICER OPERATIONS amp FACILITIES OFFICER

CONTRACTS amp FINANCE OFFICER - ESTABLISH PROJECT OPERATIONS OFFICE AT SERPONG - ESTABLISH PROJECT OPERATIONS OFFICE AT JAKARTA - OBTAIN BATTELLE CONCEPTUAL DESIGN PACKAGE - DETERMINE PROJECT TO BE MOVED TO SltRPONG NOW - DEVELOP COORDINATIONCOOPERATION PLAN FOR LSDE - OBTAIN STEERING COMMITTEE APPROVAL FOR COORDINATIONCOOPERATION PLAI - SCOPE IND EN USE STUDYCONTRACT (3MONTH STUDY)

Ill PROGRESS MILESTONES (CONFIDENCE BUILDERS)

- DRAFT UPT SK DECEMBER 1 1986 - UPT SK FOR LSDE SIGNED BY PROFDRING BJ HABIBIE MARCH 1 1987 - DRAFT 5 YR TR amp RECRUITMENT PROGRAM MARCH 1 1987 - TR amp RECRUITMENT PLAN amp CONTRACTS IN PLACE JUNE 1 1987 - DRAFT OPERATIONS MANUAL MARCH 1 1987 - FINAL OPERATIONS MANUAL JUNE 1 1987 - DETAILED SPACE PLAN FOR SERPONG OCTOBER 1 1986- SUFFICIENT TRAINED SUPPORT STAFF amp FACILITIES MARCH 1 1987 - PLAN TO MEET REMAINING SUPPORT REQUIREMENTS JUNE 1 1987 - STUDY RESULTS NOVEMBER 1 1986

PRIORITY USER INDUSTRIES INITIAL LSDEPRIORITY RESEARCH AREAS RESEARCH PRIORITIES

- 1ST LSDE USER MEETING DECEMBER 1986 - 1ST LSDE DONOR MEETING JANUARY 1987

IV FUELS amp COMBUSTION EQUIPMENT

- AWARD EQUIPMENT CONTRACT MARCH 1 1987 - COMPLETION EQUIPMENT CONTRACT APRIL 1Q99

__ __ __

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Tech S4pporl E Admin Support I LEDIP ROUT FONB amp DIPII I J UGET FOR-FY Sal gIOBTAIN FYS7l8 Ke2pMe DBUM e

OBTAIN FUH1iBI I MjTO ampPPCRT P13ETSAT SEM-06(Note ILIS E ProJect Needs DIP FMOto Support Project Team) DIP MLIIETr FOBR LABORATORYy LSDE k MANS FOR FU8BIS

IAiNNAL PALM4IN13E)MCISE IVXII FIFO Y741 ltA3rMA TIOS PLA LFINAL FMIles 4 Y88s AtWAL II LeNSVE I H A M J L I VFI 1NDF ROCEMI bull ETAILE I SLFFICIErTSUptT PLAN TO EFT Ii rSACE IPLANE 4STAFF A FACILITIES SLvp=rr RED

IL ITIGANIZBACILITIES SEROW INITILa TRAINING A GDN oG shyPR(X WNTI DECISION I LI MJ SAIL I REPARE PRODjEMr F A60M EWIPPE PROCM ENT F A COW EfuIPEwIif- rg __A C START

F CUM RFEARCI I I I

I II T IDSTUDY REMUIS I ERI I N1 I IIPROJECT PRIORITIES IEETItng rEETING I

__ __ __ I _ __ _ __ I__ __ _

I LSDE HAS DIJILT RELATION S1HIPS

F PriorItytiJsr industries I - Pio ItvR~esearch Areas

APRIl I tons

APPENDIX D

CONTINUED LSDE DEVELOPMENT

PROPOSED PROJECT TEAN

o PROPOSED PROJECT MILESTONES

o SUMMARY PROPOSED DEVELOPMENT SCHEDUL]

---

M]V OFFICEIFO SYSTESI

Project ManagementIdentification - Documentation - Rev amp Control Report Management Documentation Librlry System PoliciesProcedures

LSlE OPERATIONS

I PROJECT MNG

I

I

PROJECT EMNONEERV (DAY TO DAYNANASIENT) I

I II I IIOFFICEITHENT OFRMTHNTN ampF I FFICE

IECI NI amp If I I OFFICEMGNI IMTIMM L leI FACILITIES OFFII

LWI PRATIONS ampIIII

I o Training PlanI I o Dev of SK- Academic I M II o Scope of LS aster Plan LSDE o Organize SerpongProgram a Annual PlanI - Technical I Areas I o Procure EquipmentI o Recruitment Longterm I ODrganization

I 0 Research Priorities I o Maintenance o Routine BudgetI o Tie with T II I o Cooperation amp Coordi-I 9 o Training

I o UlSAIndonesia DIP Budget 0o Budgets for Spare-I nation with BPPT and IVo English Training I I 9 partsltootl etcothers outside I 0 Evaluation amp Guidancel bull II I I

I Il I 5 YR TRAINING A LE PLAN FOR A WRNlo

NIC__n___ I ISER COuTTEEl I FY 138B9I PRORbull II - DOIINO CIUHITrEI I bull LAB AT SEPOMl IEDlXETS - I

-

I FIlANCE OFFHRCT

I SU AID Contrac oo Battelle Contri

I o Other Contract I I

I

I EXPEDITE amp

I FACILITATE I shyl

PROJECT MILESTONES

I OFFICIAL OPENING OF LSDE APRIL 1 1988

II INITIAL CONDITIONS TO BE MET IMMEDIATELY (JULYAUG 1986)

- REVISE OLD PPXJECT SK (1982) TO FORM PROJECT TEAM - LpFAofipound PROJECT ENGINEER

INFO SYSTEMS DEV OFFICER TRAINING amp RECRUITMENT OFFICER INST DEV OFFICER

PLANNING OFFICER OPERATIONS amp FACILITIES OFFICER

CONTRACTS amp FINANCE OFFICER - ESTABLISH PROJECT OPERATIONS OFFICE AT SERPONG - ESTABLISH PROJECT OPERATIONS OFFICE AT JAKARTA - OBTAIN BATTELLE CONCEPTUAL DESIGN PACKAGE - DETERMINE PROJECT TO BE MOVED TO SltRPONG NOW - DEVELOP COORDINATIONCOOPERATION PLAN FOR LSDE - OBTAIN STEERING COMMITTEE APPROVAL FOR COORDINATIONCOOPERATION PLAI - SCOPE IND EN USE STUDYCONTRACT (3MONTH STUDY)

Ill PROGRESS MILESTONES (CONFIDENCE BUILDERS)

- DRAFT UPT SK DECEMBER 1 1986 - UPT SK FOR LSDE SIGNED BY PROFDRING BJ HABIBIE MARCH 1 1987 - DRAFT 5 YR TR amp RECRUITMENT PROGRAM MARCH 1 1987 - TR amp RECRUITMENT PLAN amp CONTRACTS IN PLACE JUNE 1 1987 - DRAFT OPERATIONS MANUAL MARCH 1 1987 - FINAL OPERATIONS MANUAL JUNE 1 1987 - DETAILED SPACE PLAN FOR SERPONG OCTOBER 1 1986- SUFFICIENT TRAINED SUPPORT STAFF amp FACILITIES MARCH 1 1987 - PLAN TO MEET REMAINING SUPPORT REQUIREMENTS JUNE 1 1987 - STUDY RESULTS NOVEMBER 1 1986

PRIORITY USER INDUSTRIES INITIAL LSDEPRIORITY RESEARCH AREAS RESEARCH PRIORITIES

- 1ST LSDE USER MEETING DECEMBER 1986 - 1ST LSDE DONOR MEETING JANUARY 1987

IV FUELS amp COMBUSTION EQUIPMENT

- AWARD EQUIPMENT CONTRACT MARCH 1 1987 - COMPLETION EQUIPMENT CONTRACT APRIL 1Q99

__ __ __

2986 uJsK 2987E - pound9 --- K LuI LU L---U-IMI C U

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fPT SKI v ato reop -pSART T AII I ITRA IN PLACECNTRACTSTRAIOBi IN MAEIMS RII-r Training ampM Snna nS I roramI Professional I RT- RAININI

Tech S4pporl E Admin Support I LEDIP ROUT FONB amp DIPII I J UGET FOR-FY Sal gIOBTAIN FYS7l8 Ke2pMe DBUM e

OBTAIN FUH1iBI I MjTO ampPPCRT P13ETSAT SEM-06(Note ILIS E ProJect Needs DIP FMOto Support Project Team) DIP MLIIETr FOBR LABORATORYy LSDE k MANS FOR FU8BIS

IAiNNAL PALM4IN13E)MCISE IVXII FIFO Y741 ltA3rMA TIOS PLA LFINAL FMIles 4 Y88s AtWAL II LeNSVE I H A M J L I VFI 1NDF ROCEMI bull ETAILE I SLFFICIErTSUptT PLAN TO EFT Ii rSACE IPLANE 4STAFF A FACILITIES SLvp=rr RED

IL ITIGANIZBACILITIES SEROW INITILa TRAINING A GDN oG shyPR(X WNTI DECISION I LI MJ SAIL I REPARE PRODjEMr F A60M EWIPPE PROCM ENT F A COW EfuIPEwIif- rg __A C START

F CUM RFEARCI I I I

I II T IDSTUDY REMUIS I ERI I N1 I IIPROJECT PRIORITIES IEETItng rEETING I

__ __ __ I _ __ _ __ I__ __ _

I LSDE HAS DIJILT RELATION S1HIPS

F PriorItytiJsr industries I - Pio ItvR~esearch Areas

APRIl I tons

---

M]V OFFICEIFO SYSTESI

Project ManagementIdentification - Documentation - Rev amp Control Report Management Documentation Librlry System PoliciesProcedures

LSlE OPERATIONS

I PROJECT MNG

I

I

PROJECT EMNONEERV (DAY TO DAYNANASIENT) I

I II I IIOFFICEITHENT OFRMTHNTN ampF I FFICE

IECI NI amp If I I OFFICEMGNI IMTIMM L leI FACILITIES OFFII

LWI PRATIONS ampIIII

I o Training PlanI I o Dev of SK- Academic I M II o Scope of LS aster Plan LSDE o Organize SerpongProgram a Annual PlanI - Technical I Areas I o Procure EquipmentI o Recruitment Longterm I ODrganization

I 0 Research Priorities I o Maintenance o Routine BudgetI o Tie with T II I o Cooperation amp Coordi-I 9 o Training

I o UlSAIndonesia DIP Budget 0o Budgets for Spare-I nation with BPPT and IVo English Training I I 9 partsltootl etcothers outside I 0 Evaluation amp Guidancel bull II I I

I Il I 5 YR TRAINING A LE PLAN FOR A WRNlo

NIC__n___ I ISER COuTTEEl I FY 138B9I PRORbull II - DOIINO CIUHITrEI I bull LAB AT SEPOMl IEDlXETS - I

-

I FIlANCE OFFHRCT

I SU AID Contrac oo Battelle Contri

I o Other Contract I I

I

I EXPEDITE amp

I FACILITATE I shyl

PROJECT MILESTONES

I OFFICIAL OPENING OF LSDE APRIL 1 1988

II INITIAL CONDITIONS TO BE MET IMMEDIATELY (JULYAUG 1986)

- REVISE OLD PPXJECT SK (1982) TO FORM PROJECT TEAM - LpFAofipound PROJECT ENGINEER

INFO SYSTEMS DEV OFFICER TRAINING amp RECRUITMENT OFFICER INST DEV OFFICER

PLANNING OFFICER OPERATIONS amp FACILITIES OFFICER

CONTRACTS amp FINANCE OFFICER - ESTABLISH PROJECT OPERATIONS OFFICE AT SERPONG - ESTABLISH PROJECT OPERATIONS OFFICE AT JAKARTA - OBTAIN BATTELLE CONCEPTUAL DESIGN PACKAGE - DETERMINE PROJECT TO BE MOVED TO SltRPONG NOW - DEVELOP COORDINATIONCOOPERATION PLAN FOR LSDE - OBTAIN STEERING COMMITTEE APPROVAL FOR COORDINATIONCOOPERATION PLAI - SCOPE IND EN USE STUDYCONTRACT (3MONTH STUDY)

Ill PROGRESS MILESTONES (CONFIDENCE BUILDERS)

- DRAFT UPT SK DECEMBER 1 1986 - UPT SK FOR LSDE SIGNED BY PROFDRING BJ HABIBIE MARCH 1 1987 - DRAFT 5 YR TR amp RECRUITMENT PROGRAM MARCH 1 1987 - TR amp RECRUITMENT PLAN amp CONTRACTS IN PLACE JUNE 1 1987 - DRAFT OPERATIONS MANUAL MARCH 1 1987 - FINAL OPERATIONS MANUAL JUNE 1 1987 - DETAILED SPACE PLAN FOR SERPONG OCTOBER 1 1986- SUFFICIENT TRAINED SUPPORT STAFF amp FACILITIES MARCH 1 1987 - PLAN TO MEET REMAINING SUPPORT REQUIREMENTS JUNE 1 1987 - STUDY RESULTS NOVEMBER 1 1986

PRIORITY USER INDUSTRIES INITIAL LSDEPRIORITY RESEARCH AREAS RESEARCH PRIORITIES

- 1ST LSDE USER MEETING DECEMBER 1986 - 1ST LSDE DONOR MEETING JANUARY 1987

IV FUELS amp COMBUSTION EQUIPMENT

- AWARD EQUIPMENT CONTRACT MARCH 1 1987 - COMPLETION EQUIPMENT CONTRACT APRIL 1Q99

__ __ __

2986 uJsK 2987E - pound9 --- K LuI LU L---U-IMI C U

DSATSJ

fPT SKI v ato reop -pSART T AII I ITRA IN PLACECNTRACTSTRAIOBi IN MAEIMS RII-r Training ampM Snna nS I roramI Professional I RT- RAININI

Tech S4pporl E Admin Support I LEDIP ROUT FONB amp DIPII I J UGET FOR-FY Sal gIOBTAIN FYS7l8 Ke2pMe DBUM e

OBTAIN FUH1iBI I MjTO ampPPCRT P13ETSAT SEM-06(Note ILIS E ProJect Needs DIP FMOto Support Project Team) DIP MLIIETr FOBR LABORATORYy LSDE k MANS FOR FU8BIS

IAiNNAL PALM4IN13E)MCISE IVXII FIFO Y741 ltA3rMA TIOS PLA LFINAL FMIles 4 Y88s AtWAL II LeNSVE I H A M J L I VFI 1NDF ROCEMI bull ETAILE I SLFFICIErTSUptT PLAN TO EFT Ii rSACE IPLANE 4STAFF A FACILITIES SLvp=rr RED

IL ITIGANIZBACILITIES SEROW INITILa TRAINING A GDN oG shyPR(X WNTI DECISION I LI MJ SAIL I REPARE PRODjEMr F A60M EWIPPE PROCM ENT F A COW EfuIPEwIif- rg __A C START

F CUM RFEARCI I I I

I II T IDSTUDY REMUIS I ERI I N1 I IIPROJECT PRIORITIES IEETItng rEETING I

__ __ __ I _ __ _ __ I__ __ _

I LSDE HAS DIJILT RELATION S1HIPS

F PriorItytiJsr industries I - Pio ItvR~esearch Areas

APRIl I tons

PROJECT MILESTONES

I OFFICIAL OPENING OF LSDE APRIL 1 1988

II INITIAL CONDITIONS TO BE MET IMMEDIATELY (JULYAUG 1986)

- REVISE OLD PPXJECT SK (1982) TO FORM PROJECT TEAM - LpFAofipound PROJECT ENGINEER

INFO SYSTEMS DEV OFFICER TRAINING amp RECRUITMENT OFFICER INST DEV OFFICER

PLANNING OFFICER OPERATIONS amp FACILITIES OFFICER

CONTRACTS amp FINANCE OFFICER - ESTABLISH PROJECT OPERATIONS OFFICE AT SERPONG - ESTABLISH PROJECT OPERATIONS OFFICE AT JAKARTA - OBTAIN BATTELLE CONCEPTUAL DESIGN PACKAGE - DETERMINE PROJECT TO BE MOVED TO SltRPONG NOW - DEVELOP COORDINATIONCOOPERATION PLAN FOR LSDE - OBTAIN STEERING COMMITTEE APPROVAL FOR COORDINATIONCOOPERATION PLAI - SCOPE IND EN USE STUDYCONTRACT (3MONTH STUDY)

Ill PROGRESS MILESTONES (CONFIDENCE BUILDERS)

- DRAFT UPT SK DECEMBER 1 1986 - UPT SK FOR LSDE SIGNED BY PROFDRING BJ HABIBIE MARCH 1 1987 - DRAFT 5 YR TR amp RECRUITMENT PROGRAM MARCH 1 1987 - TR amp RECRUITMENT PLAN amp CONTRACTS IN PLACE JUNE 1 1987 - DRAFT OPERATIONS MANUAL MARCH 1 1987 - FINAL OPERATIONS MANUAL JUNE 1 1987 - DETAILED SPACE PLAN FOR SERPONG OCTOBER 1 1986- SUFFICIENT TRAINED SUPPORT STAFF amp FACILITIES MARCH 1 1987 - PLAN TO MEET REMAINING SUPPORT REQUIREMENTS JUNE 1 1987 - STUDY RESULTS NOVEMBER 1 1986

PRIORITY USER INDUSTRIES INITIAL LSDEPRIORITY RESEARCH AREAS RESEARCH PRIORITIES

- 1ST LSDE USER MEETING DECEMBER 1986 - 1ST LSDE DONOR MEETING JANUARY 1987

IV FUELS amp COMBUSTION EQUIPMENT

- AWARD EQUIPMENT CONTRACT MARCH 1 1987 - COMPLETION EQUIPMENT CONTRACT APRIL 1Q99

__ __ __

2986 uJsK 2987E - pound9 --- K LuI LU L---U-IMI C U

DSATSJ

fPT SKI v ato reop -pSART T AII I ITRA IN PLACECNTRACTSTRAIOBi IN MAEIMS RII-r Training ampM Snna nS I roramI Professional I RT- RAININI

Tech S4pporl E Admin Support I LEDIP ROUT FONB amp DIPII I J UGET FOR-FY Sal gIOBTAIN FYS7l8 Ke2pMe DBUM e

OBTAIN FUH1iBI I MjTO ampPPCRT P13ETSAT SEM-06(Note ILIS E ProJect Needs DIP FMOto Support Project Team) DIP MLIIETr FOBR LABORATORYy LSDE k MANS FOR FU8BIS

IAiNNAL PALM4IN13E)MCISE IVXII FIFO Y741 ltA3rMA TIOS PLA LFINAL FMIles 4 Y88s AtWAL II LeNSVE I H A M J L I VFI 1NDF ROCEMI bull ETAILE I SLFFICIErTSUptT PLAN TO EFT Ii rSACE IPLANE 4STAFF A FACILITIES SLvp=rr RED

IL ITIGANIZBACILITIES SEROW INITILa TRAINING A GDN oG shyPR(X WNTI DECISION I LI MJ SAIL I REPARE PRODjEMr F A60M EWIPPE PROCM ENT F A COW EfuIPEwIif- rg __A C START

F CUM RFEARCI I I I

I II T IDSTUDY REMUIS I ERI I N1 I IIPROJECT PRIORITIES IEETItng rEETING I

__ __ __ I _ __ _ __ I__ __ _

I LSDE HAS DIJILT RELATION S1HIPS

F PriorItytiJsr industries I - Pio ItvR~esearch Areas

APRIl I tons

__ __ __

2986 uJsK 2987E - pound9 --- K LuI LU L---U-IMI C U

DSATSJ

fPT SKI v ato reop -pSART T AII I ITRA IN PLACECNTRACTSTRAIOBi IN MAEIMS RII-r Training ampM Snna nS I roramI Professional I RT- RAININI

Tech S4pporl E Admin Support I LEDIP ROUT FONB amp DIPII I J UGET FOR-FY Sal gIOBTAIN FYS7l8 Ke2pMe DBUM e

OBTAIN FUH1iBI I MjTO ampPPCRT P13ETSAT SEM-06(Note ILIS E ProJect Needs DIP FMOto Support Project Team) DIP MLIIETr FOBR LABORATORYy LSDE k MANS FOR FU8BIS

IAiNNAL PALM4IN13E)MCISE IVXII FIFO Y741 ltA3rMA TIOS PLA LFINAL FMIles 4 Y88s AtWAL II LeNSVE I H A M J L I VFI 1NDF ROCEMI bull ETAILE I SLFFICIErTSUptT PLAN TO EFT Ii rSACE IPLANE 4STAFF A FACILITIES SLvp=rr RED

IL ITIGANIZBACILITIES SEROW INITILa TRAINING A GDN oG shyPR(X WNTI DECISION I LI MJ SAIL I REPARE PRODjEMr F A60M EWIPPE PROCM ENT F A COW EfuIPEwIif- rg __A C START

F CUM RFEARCI I I I

I II T IDSTUDY REMUIS I ERI I N1 I IIPROJECT PRIORITIES IEETItng rEETING I

__ __ __ I _ __ _ __ I__ __ _

I LSDE HAS DIJILT RELATION S1HIPS

F PriorItytiJsr industries I - Pio ItvR~esearch Areas

APRIl I tons