Analysis shows private sector-led development impacts urban governance in Indonesia, highlighting new control and efficiency measures.
In recent decades new cities have sprung up at a rapid pace, aided by private sector funding ( Hogan et al., 2012 ). Within the realm of smart city development, private sector influence over urban governance has substantially increased, particularly through Public-Private Partnerships (PPPs). However, in Indonesia, there is an emerging trend of the private sector exerting significant control over ‘independent’ greenfield smart cities beyond state-led frameworks. This paper develops the idea of seeing beyond the state which involves looking past conventional state-centered approaches to urban governance. It considers instead how power and control are exercised outside or beyond the usual boundaries of state authority by private actors using technological solutions and narratives of efficiency. Drawing on 22 interviews with various public and private sector stakeholders, as well as residents, this paper analyzes the case of BSD City in South Tangerang, Indonesia. It addresses two research questions. One, how does private sector-led development reshape conventional urban governance in contexts where the state is bypassed? Two, in what ways do private sector players leverage smart city technologies and discourses to create new forms of territorial control, regulatory autonomy and legibility in urban spaces? The paper shows how the private sector creates a distinct legal-political environment that enables the rapid adoption of smart solutions in order to maximize profitability whilst intensifying surveillance, control and socio-spatial divisions.
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Das et al. (2025) studied this question.
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