Adaptive Social Protection

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1 Adaptive Social Protection Evidence from Indonesia Harapan Lumban Gaol Adhy Karyono Ministry of Social Affairs of Republic of Indonesia Presented on World Bank Social Protection and Jobs South-South Learning Forum, Frankfurt Germany, February 2018

2 1 Indonesia Poverty and Social Protection Figure 2 Unified Database Table of Contents Adaptive Social Protection Cases Lesson Learnt 6 Verification and Validation Apps 2

3 INDONESIA POVERTY FIGURE Main Challenges POVERTY VULNERABILITY INEQUALITY

4 INDONESIA SOCIAL PROTECTION SCHEME Additional Health Insurance (Voluntary) Old Age Saving, Other Protection Social Insurance Contributory Based National Health Insurance (JKN), Occupational Injury Benefit (JKK), Death Benefit (JKm), Old-Age Benefit (JHT), Pension Fund (JP) Social Assistance PKH, Education, Health, Food, Social PROGRAM PURPOSE TARGET BENEFIT Investment Individual Compementary Voluntary Pension insurance Health Maintenance Old Age National Social National Death Security All workers Secutiy System Coverage Work Accident Health Insurance Premium Assistance Soial Assistace Social Protection Seed Capital Poor and Non Cash Transfer Vulnerable Education Assistance Groups Food Program Social Service

5 UNIFIED DATA BASE AS A BASIS FOR SOCIAL PROTECTION & POVERTY REDUCTION PROGRAMS Smart Indonesia Program Non Cash Food Assistance NEAR POOR/ VULNERABLE POOR 60% 40% 38% 25% 13% 10,12% Exclusion Error Source: National Planning Bureau UDB consists of the 40% lowest income group, by name by address. During Crisis, UDB has been a basis to expand the target of social protection programs. Public consultation at community level is needed to verify the more vulnerable. UNIFIED DATA BASE Covers 25,7 jmillion households/27 million families or around 96,7 million people PEOPLE WHO GETS GOV T CONTRIBUTION FOR HEALTH INSURANCE PREMIUM Covers 22,05 million households or 92.4 million people BPNT dan Bansos Rastra, SCHOLARSHIP FOR THE POOR Covers 15,5 million households, including 19.7 million children CONDITIONAL CASH TRANSFER, Covers 6 million families (will be 10 million Families in 2018) NATIONAL POVERTY LINE (Sept 2017) Covers 5 million households or around 26,58 million people Healthy Indonesia Program UDB PKH (CCT) Combo Card One Card with multiple Benefit program

6 WELFARE COMBO CARD FUCTIONED AS MULTIBENEFITS Ministry of Education and Culture PIP Cards Ministry of Energy and Mineral Resources Electricity, Fuel, LPG 3 Kg Ministry of Maritime and Fisheries Affairs Ministry of Agriculture Fisherman Fertilizer Subsidies Seed Subsidies Ministry of Social Affairs Other Ministries CCT/PKH Rice for The Poor

7 REGULAR UDB MECHANISM CCT Outreach Intake & Registration from National Census Personal Identification Information (ID) Automated PMT / Eligibility Scores Data and Information Centre MoSA (Data input and verification) Health Food Ass Targeting The Poor and Nearly Poor Family Composition & Demographics Socio-Economic Information UDB Smart/Heal thy Cards Intervention PKH Program PBI Program BPNT Program KIS/ KIP Program

8 REGULAR DATA UPDATING MECHANISM THROUGH SINGLE WINDOW SERVICES Database, MIS, ODA, Monev, Dashboard

9 CHALLENGES FOR UDB UPDATING Existing database may not cover unregistered poor, new poor and vulnerable people Special group of vulnerable people (unregistered poor people) need to protect New poor and vulnerable people increase from time to time (victims of disasters) Existing UDB mechanism may not solve the problems

10 How social protection system could cover the victim of disasters (natural & social) also the vulnerable (unregistered poor people)? Indonesia is one of the world s most vulnerable countries to natural disaster (and also social disasters ) During 2017 = natural disasters (377 killed, injured, displaced During 2017 = social disasters (social conflicts), 581 killed, affected and displaced,.

11 Adaptive Social Protection Quick Mechanism For Social Protection Local Government CCT PROGRAM DATA Poor victims of disasters, conflicts, unregistered poor people LOCAL VERIVALI CENTRAL VERIVALI (MOSA s Data Center Elig ible Elig ible Data Input in UDB MULTIBENEFITS OF SOCIAL PROTECTION NON CASH TRANSFERS (SUBSIDY, KIS, KIP, ELECTRICITY, ETC) The Nearest Facilitators RICE FOR THE POOR Buffer stock determines number of new beneficiaries to be prioritized

12 Case 1. Economic Shocks Affected by Natural Disaster: Volcanic Eruption in Sinabung Impact Cost in terms of Development (poverty, human development, malnutrition, etc) Financial Cost Intervention The eruption started from 2013 till now An Integrated Social Protection System in Respond to Economic Shock Number of people affected: killed 28 people Injured and displaced : people Household Based Social Assistance Program Community Empowerment Program (Expansion of Employment) Expansion of credit to micro- and small-scale enterprises Socio-economic Impact: Damage to agricultural land and plantations of 10,406 hectare People lost their livelihoods (plant and livestock) and sources of income Rice Subsidy, Cash Transfer, PKH, KIS, KIP, Housing Assistance. Implemented by The Central Government (Ministries) KUBE, Entrepreneurial and Financial Trainings, Entrepreneurial assistance. Implemented by The Central Govt., Local Govt., INGO and NGO UEP, KOPERASI (Support savings and loans also facilitate access to capital) Implemented by The Local Govt., INGO and NGO

13 Case 2 : Social Conflict (ex combatant in Lamongan) Facilitated by religious leaders in religious institutions Ex-Combatant Negative stigma declining their status of welfare Registered to SP system Linked to Social Protection scheme : Conditional Cash Transfer (PKH) for those who meet the requirement Non cash food assistance (BPNT) PIP (Education) PIS (Health) UEP/ KUBE (Productive scheme)

14 Case 3 : Unregistered Communities for Civil Rights Central Government CCT Civil Rights (ID Card, Birth Certificates, Family Card) Rice for the Poor Local Government

15 Implementation Details Based on Act Number 13/2011 on Ultra Poor Alleviation, data verification and validation conducted by local government, endorsement conducted by MOSA Local Government (Headman, Sub District) proposed data that have been updated by local facilitators (with special instruments) Data would be used as main basis for all programs.

16 Inclusion and exclusion data error could be mediated by Adaptive Social Protection LESSON LEARNT Adaptive Social Protection should be a way out for new poor, unregistered poor to give a quick response The local facilitators play a significant role in terms of data verification and validation.

17 Develop integrated referral system (SINGLE WINDOW SERVICE - SLRT) adjusted with ASP Model in each Regency for local based data updating, program registration, referral and complaint handling (Roadmap has been stipulated in Strategic Plan) Develop New Generation MIS for UDB. The Way Forward Improve capacity of local social workers, facilitators and local government. Encourage local governments for budget allocation Determine in what scale social protection could be scaled up in response disaster

18 Implementing Information Technology On Data Validation Process Registered by mobile app Electronic data processing Data transferred directly by Satellite Poor people Data transferred directly by internet Alternate link to data transferring Some Aid Programs as users

19 Data Processing Steps Up Data sent to the Banks Local Database Updated Preparing data for payment instruction Merged into BDT BDT is owned and managed by Data & Information Center, MOSA *Local databases Cleaned up from data garbage Cleaned up from data duplicated Adding unique ID number Local Database Updated *Owned and managed by intervention programs MOHA will add citizen ID, family ID and some other mandatories data MOHA

20 Vielen Dank

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