Parking Digitalization and Local Own-Source Revenue Optimization in Pekanbaru: Evidence from Regional Budget Realization Reports, 2023-2025

Rahmad Guntoro; Widhayat Rudhi  Windarta; Budi Sudarso

doi:10.47747/ijbme.v7i3.3649

Authors

Rahmad Guntoro Financial Education and Training Agency, Ministry of Finance of the Republic of Indonesia
Widhayat Rudhi Windarta Financial Education and Training Agency, Ministry of Finance of the Republic of Indonesia
Budi Sudarso Financial Education and Training Agency, Ministry of Finance of the Republic of Indonesia

DOI:

https://doi.org/10.47747/ijbme.v7i3.3649

Keywords:

parking digitalization, local own-source revenue, e-parking, public value

Abstract

This study examines whether parking digitalization can be positioned as a credible instrument for public service modernization and local own-source revenue (PAD) optimization in Pekanbaru City. Although e-parking is often promoted as a mechanism to reduce revenue leakage and increase transaction transparency, empirical evidence based on budget realization data remains limited. Using a quantitative descriptive design, this study analyzes Regional Budget Realization Reports for all regencies and cities in Riau Province over 2023-2025. Parking receipts are measured as the aggregate of parking tax, on-street parking service retribution, and special parking facility retribution. The results reveal a fiscal divergence: Pekanbaru's PAD increased from IDR 890.31 billion in 2023 to IDR 1,276.15 billion in 2025, whereas identified parking receipts declined from IDR 20.64 billion to IDR 7.48 billion over the same period. Consequently, the parking-to-PAD ratio fell from 2.32% to 0.59%. Pekanbaru remained the second-largest contributor to parking receipts among Riau regencies/cities, but its regional share decreased from 38.18% to 15.88%. The findings suggest that digitalization should not be treated as a stand-alone payment innovation; rather, it must be embedded in integrated fiscal governance, transaction reconciliation, object registration, risk-based supervision, and performance monitoring. This article contributes by connecting digital government theory, public value, and smart city governance with granular fiscal evidence on local parking revenue management

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