Member of the House of Representatives of Indonesia, H. Arsul Sani, SH, M.Si with President of Society of Construction Law Indonesia, Prof. Sarwono Hardjomuljadi Dr, Ir, MT, MH
Society of Construction Law Indonesia, in collaboration with the Institute of Dispute Board for Construction (Perkumpulan Ahli Dewan Sengketa Konstruksi/PADSK) Indonesia, and Pekalongan University, held the International Conference on Dispute Resolution and Improvement of Construction Quality at Century Park Hotel, Senayan. The conference discussed various issues in the construction industry, all aimed at preventing disputes in construction projects.
The two-day conference, held on July 27-28, 2023, was divided into eight sessions featuring construction experts and contractors as speakers, both from within and outside Indonesia. Speakers are experts in construction law and included experts who have experience in preventing and resolving disputes as members of the Dispute Board.
Deputy Chairman of the People’s Consultative Assembly (MPR), Mr. Arsul Sani, said in his speech that the conference was a forum for construction practitioners to exchange knowledge and experience, especially in resolving construction disputes and other aspects. He also encouraged discussions on the development and construction of the new Indonesian Capital City (IKN).
Director General of Construction, Ministry of Public Works and Public Housing, Ir. Rachman Arief Dienaputra M.Eng. (pictured left) presenting the opening speech for the conference.
Rachman Arief Dienaputra, Director General of Construction at the Ministry of Public Works and Housing (PUPR), emphasized similar views. He said that priority infrastructure development, especially the IKN, is required to achieve quality, aesthetics, and environmental sustainability. The implementation of such projects must be carried out quickly, using high technology that prioritizes domestic products and applying appropriate construction methods while maintaining audibility in the governance of their implementation. Disputes during construction will act in opposite of these goals and potential disputes should be avoided by all parties. In his speech, he mentioned that knowledge in construction law, better contract, and risk management can minimize disputes during project.
Murray Ames from J.S. Held LLC, United Kingdom (standing, front) speaking in front of conference attendees during session talks on Construction Contract and its Challenges in The Digital Era, with Mesra Eza as moderator (sitting, left), Sean Gibbs – DRBF Board of Directors (sitting, right)
The conference also discussed the importance of dispute resolution in the construction industry. Construction disputes are common, and they can be costly and time-consuming to resolve. However, there are a number of ways to prevent disputes from arising in the first place, and there are also a number of effective dispute resolution methods available.
One way to prevent disputes is to have a well-drafted contract that clearly outlines the rights and obligations of all parties involved in the project. It is also important to have effective communication and coordination between all stakeholders. If disputes do arise, it is important to address them early on and to try to resolve them through mediation, conciliation or dispute board. If these methods are unsuccessful, arbitration or litigation may be necessary. Each sessions discusses different approaches on dispute resolution and avoidance with several case studies from all over the world.
Speakers and conferences committee members posing for a picture at the end of the conference.
The conference concluded with a call for the construction industry to adopt best practices for dispute prevention and resolution. This will help to reduce the number of disputes that arise and make it easier to resolve those that do occur. SCL Indonesia is committed to support educate practitioners in the industry to better understand construction law and the best practices.