Introduction
There has been
growing debates on the impact of oil industrialization on local economy development.
Discussion also appears in many text book on political economy of oil, although
most of the discussion are likely to deal on how oil could produce money for the
people and state. But, there are much less attention on how to manage risk and
deal with social economic impact of extractive industries. General theme which
come to people mind is about money as a symbol of prosperity. This paper aims to offer alternative
perspective in viewing the presence of oil industry. The case study is
Bojonegoro, an oil-rich region in East Java Indonesia.
The discovery of
oil and gas reserves in Bojonegoro is predicted to make a lot of development.
Meanwhile, the problems of poverty are persistent. According to report released
by Reuters, Bojonegoro as the owner of the largest crude reserves in Southeast
Asia, stated at 350 million barrels is addressing the problem of poverty in
line with the demand of prosperity.[1] Due to the ownership of abundant oil
reserves, Bojonegoro is placed on the fourth of the poorest districts in East
Java Province.[2] As people always bring
into debate that oil and gas will be a blessing to the prosperity, inspite of
what people perceive on the benefit, it is important to bring understanding into
the prosperity within its origin. There are two reason why it is matter.
First, oil and
local economy development are supposed to have mutual interconnection, meanwhile in the other
case the impact shows different
situation. It
is wished to make society prosper and so does the region, however many challenges do exist ahead. The government of
Bojonegoro has also established a law of local content, but it is not strong enough in the realm of
implementation up to its goal to advocate and ensure the involvement of local resources. Even, it comes to questions. Similarly, local government efforts to deal with a judicial
review on Law
No. 33/2004 to the
Constitutional Court. However, oil industy
to bring hope for stakeholders in Bojonegoro. Along with huge expectation from people who are expected be employed by oil industry, the NGOs ask for partnership with
large companies utilizing Corporate
Social Responsibility (CSR). Meanwhile, local
contractors seeking legitimacy gap with local content regulations to local
governments, insist on asking the growing budget coverage through increased revenue-sharing. This is supported by the news
media that puts oil as ‘mainstream’
which is direct the
public discourse for at least understand what is going on in the oil and gas
industry in Bojonegoro.
This paper does
not aim to
criticize the reality above. However, it cannot be denied, take the example of local government, they are doing well in dealing with the interests of people so
that people be able to enjoy the blessing of oil and
gas. Perhaps, mainstreaming on oil
presents as the only issue in the field, so that the
local government efforts to
accommodate people interest. As the result, people give trust on their administration. However, as people have high expectation on oil and gas industry, whether
it can be associated, they will upset that the
dream turned to dust.
Second, it comes to awareness that actually oil and gas are not renewable resources. However, common view of the people on it are denied when they interpret natural resources as bless and utilize the abundance of natural resources, at least to obtain multiplier impact of it. For instance, we find huge growing of
services business, restaurant, and property. It deals with a big matter when huge growing of business along with the
raise of people income be spent into huge consumption. They suppose be able
rely their economy on the bless of oil, but
the reality will tell them differently as oil and gas
projects come to an end. However, we need to allow extractive industry on oil and gas continues to run well. In
the mean time, we need to reduce over
expectation on oil and gas sector. A more sustainable economy is also needed.
Bringing Creative Industries in Development Issues
Up to present, creative
economy businesses comes into a happening topic in Indonesia economic development. As the turn of the nomenclature of the Ministry of Culture and Tourism
into the Ministry of Tourism and Creative Economy, creative economic
enterprises implies a new hope in the equitable distribution of the national
economy. Moreover, the creative economy is a means for developing a significant and sustainable
economy by utilizing the potential of the sector and outside the conventional
potential, for example, oil and gas as well as agriculture. The potential is certainly
obtained from the innovation and creativity that arise from the exploitation of
human resources so that they can contribute to the social and economic
communities. Originally, the development of the creative economy can be run within the
framework of creativity in 14 sub-sectors, among others: advertising,
architecture, art market, crafts, design, fashion, film & video
photography, interactive games, music, performing arts, publishing and
printing, computer services & software, television and radio,
activity-based research & development (Pangestu, 2008: xii).
Originally, creative
economy in Bojonegoro has emerged, even before the
oil warms dynamics. Creative potential grows as a source of cultural and economic
communities. Sukorejo,
Kasiman Village and Margomulyo Village
are administrated as center of wooden
handicrafts, Gondang as Onyx stones area and Malo as center of
gerabah[3]. Presumably, it is already established businesses. Networking and marketing has
been pretty extensive. Now, people seem developing creative potential, however it is based on sub crafts. The government of Bojonegoro urge their people for designing, conducting
business Batik Jonegoroan[4].
Community initiatives to develop creative industry also appear on designs and T-shirt business that includes messages of local wisdom.
In the form of institutions, creative businesses are actualized in the form of tourism village, for example, a
tourism village of Jono, Tanjungharjo and
Ringinrejo. In addition, stretching local arts community-both contemporary and
tradition- are also easy to find
around. We
can find many public space for various communities. In other hand, growing arts
community, activists of information technology, photography and modeling are
also starting to show its existence.
It can be recognized, creative industries in
Bojonegoro lead to the competition of creative business with the more well-established creative cities in Indonesia i.e Yogyakarta, Bandung and Solo. As people creativity has emerged, there is also well established social
capital. However, we find a problem. Economic development blueprint for the creative industries
has not been available yet. Potential promoted in its place are considered untouchable by capital flow and
investment. While the Bojonegoro expo in the plaza
entertainment, are impressed more prominent than
empowering local potential.
In purpose to deal with these problems, it cannot
be denied that creative industries are closely assosiated with the development of other sectors i.e construction of tourism. The existence of a tourism areas appear great tourist
destination and attract many visitors. It is strategic in promoting creative business, despite
it must be admitted that up to
present, we can hardly find a priority sector of development in Bojonegoro. Field of tourism is allowed to proceed
without a new twist though a great famous tourist destination is pride for local residents. Especially when it is able to provide multiplier impact for
surrounding residents, particularly those engaged in the creative economy. Tourism village that is
currently emerging be a possibility to find their own way to promote the village as a
potential synergy with no major tourist potential.
Another Hope on Creative Industries
The creative potential of the people could be
well-managed. Moreover, we need to demontrate great enthusiasm, which is looking for a more
sustainable alternative business instead of oil and gas industry. Creative ideas are
actually already available around the
people,it is
just needed more seriousness in developing the ideas. In addition, massive promotion and connection to the sources of
stable funding are considered important. The creative potential of the people can also be connected and advocated in the
discussion of local regulation on Corporate Social Responsibility (CSR). We hope, CSR in its various forms, delivered by oil companies operating in Bojonegoro, able to develop as well as support the empowerment of creative industries.
The only question come to my mind, has government of Bojonegoro considered the importance of creative industries as one of mainstream of economic development? Above expectations would not be a real tangible when the creative potential still sidelined or simply no facilitation after it disappeared without trace. Just wait for the creative community reach its own momentum. Nevertheless, oil industry will remain the main foundation of economic growth in Bojonegoro. (*)
*) The original article was written in Bahasa Indonesia and had its first appearance on local printed news paper blokBojonegoro, entitled “Industri Kreatif di Tengah Industrialisasi Migas”, May 2013, co-writer: Danang Wahyuhono
