ABSTRACT COLLABORATIVE NEGOTIATION for PUBLIC PRIVATE PARTNERSHIP in INDONESIA)

The capability of Indonesia’s budget to fulfill the need of infrastructure development are only one third from the need of annual infrastructure budget. Coping with such budget deficiencies, the role of private sector are substantively inevitable. Central government already anticipated it by submit the Presidential Decree No. 67/2005 to regulate the Infrastructure Development through Public Private Partnership and revised by New Presidential Decree No. 13/2010. This is the milestone of Infrastructure Development in Indonesia. Through this regulation ‘the mind set ’ of government apparatus to prepare the infrastructure development are now shifting from ‘state welfare ’ to ‘open market’. Negotiation Approach to interact among actors in ‘State welfare ’ are shifting from forcing and adversarial negotiation to collaborative negotiation at an ‘open market ’ era. Changing the role of government in negotiation from adversarial to collaborative are intriguingly very interesting to be explored. Conventional infrastructure procurement system which has an orientation in short term (by project) will be shifting to the long term partnership. From eleven project of public private partnership in Indonesia during the last five year (after 2005) mostly in status of delay. Only a few ‘on schedule ’ project of PPP such as Integrate