Political Support for the Performance of Regional-Owned Enterprises (BUMD) in South Sulawesi Province

DOI

10.2991/978-2-38476-545-4_15How to use a DOI?

Keywords

Political support; regional-owned enterprises (BUMD); governance; South Sulawesi; PT Sulsel Citra Indonesia

Abstract

This study examines the relationship between political support and the performance of Regional-Owned Enterprises (Badan Usaha Milik Daerah or BUMD) in South Sulawesi Province. As instruments of regional development, BUMDs play a strategic role in increasing locally generated revenue, expanding employment opportunities, and strengthening local economic resilience. However, their performance often faces challenges, both from internal governance issues and external factors influenced by political dynamics. This study aims to analyze the forms of political support provided by local governments, legislatures, and other stakeholders for BUMD performance, as well as to formulate an ideal model of support to enhance the sustainability of regional enterprises. A qualitative approach with a case study design was employed, focusing on PT Sulsel Citra Indonesia (PT SCI) as one of the strategic BUMDs owned by the Government of South Sulawesi Province. Data were collected through in-depth interviews with local government officials, legislators, BUMD management, academics, and community representatives, complemented by policy document analysis and field observations. Thematic data analysis was conducted to identify patterns in the relationship between political support and BUMD performance. The findings reveal that political support significantly influences BUMD performance. Executive political support is manifested through policies, regulations, and capital participation, while the legislature contributes through its oversight and budget approval functions. Furthermore, public and stakeholder participation reinforces transparency and accountability. The study concludes that regulatory consistency, constructive legislative oversight, and multi-stakeholder collaboration are essential elements for improving the performance and sustainability of BUMDs in South Sulawesi.

Copyright

© 2026 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Yasir Machmud
AU  - Gustiana Kambo
AU  - A. Lukman Irwan
AU  - Saharuddin
PY  - 2026
DA  - 2026/03/13
TI  - Political Support for the Performance of Regional-Owned Enterprises (BUMD) in South Sulawesi Province
BT  - Proceedings of the World Conference on Governance and Social Sciences 2025 (WCGSS 2025)
PB  - Atlantis Press
SP  - 198
EP  - 209
SN  - 2352-5398
UR  - https://doi.org/10.2991/978-2-38476-545-4_15
DO  - 10.2991/978-2-38476-545-4_15
ID  - Machmud2026
ER  -