Indonesia’s new toll road projects through public private partnerships

Public private partnerships (PPP) are being set up by the Indonesian Government to construct three toll road projects valued at US$783.3 million (IDR 9.40tn). Tender for the projects will be launched in 2014, with construction due to begin the following year. A 39km Manado-Bitung road in North Sulawesi; a 37.6km road in Malang-Pandaan in East Java; and 15.8km Medan-Binjai road in North Sumatra comprise the three toll road projects. The three projects are due for completion by the end of 2017. Also in Indon
December 16, 2013 Read time: 2 mins
Public private partnerships (PPP) are being set up by the 1065 Indonesian Government to construct three toll road projects valued at US$783.3 million (IDR 9.40tn). Tender for the projects will be launched in 2014, with construction due to begin the following year. A 39km Manado-Bitung road in North Sulawesi; a 37.6km road in Malang-Pandaan in East Java; and 15.8km Medan-Binjai road in North Sumatra comprise the three toll road projects. The three projects are due for completion by the end of 2017.

Also in Indonesia, 4911 Citra Marga Nusaphala Persada (Citra Marga) plan to spend $183.33 million (IDR 2.2trn) on some of its key road expansion projects during 2014. The firm aims to commence work on the Depok-Antasari route and to add more lanes to the Jakarta Inner Ring Road to ease traffic congestion. Over a period of four years, it is estimated that the Jakarta Inner Ring Road project will cost some IDR 3.6tn.

Some IDR 2tn-IDR 2.5tn will also be raised by the firm from bond sales, a rise of two-fold from the initial plan. Indo Premier Securities, Trimegah Securities, Sucorinvest Central Gani and Ciptadana Securities have been appointed to become underwriters for the transaction. Citra Marga is also reportedly aiming to pay IDR 122bn in loans to its units, namely Girder Indonesia and Citra Margatama Surabaya.
Highway & Network Management

For more information on companies in this article

Related Content

  • Ugandan congestion to take flight
    May 2, 2012
    The Ugandan government aims to cut traffic congestion by building a 37km dual carriageway toll road linking Entebbe International Airport with Kampala. The US$350million project, set to begin later this year, is being funded through a four-year loan from the Export-Import Bank of China. The toll road is due to open in 2015.
    Read More
  • Deals struck for two major highway projects in Yibin, China
    October 30, 2013
    Plans are in hand for a US$616.6 million highway project in Yibin, China. China Roads, Xingtai Road and Bridge Construction and Sichuan Yibin Yili Group have signed concession and investment agreements for the Yibin-Yiliang and Yibin highways with the authorities in the city of Yibin. Work will commence before the end of this year on the western section of the 39km Yibin boundary-crossing highway. The project is expected to take three years to complete. Meanwhile, work on the 130km Yibin-Yiliang highway wil
    Read More
  • Work underway on Indonesia’s Trans Papua highway
    September 22, 2015
    Indonesia’s Ministry of Public Works and Housing plans to allocate US$415.3 million in 2016 for the Trans Papua road project. The Indonesian Government’s plan is for the link to be ready for use and connecting the whole of Papua by 2019. However in excess of $830 million is required to fund work on the entire 4,325km route. Over 10km of bridges still remain to be constructed along with 827km of roads. Meanwhile of the existing 3,498km of road, only 2,075km are surfaced with asphalt at present while 1,423km
    Read More
  • Tenders received for Mersey Gateway project
    April 10, 2013
    Tenders have now been received for the Mersey Gateway Project from all three shortlisted bidders competing to deliver the project on behalf of Halton Borough Council. The full and final tenders were delivered to the project’s offices overlooking the River Mersey ahead of the deadline. The project team and its expert advisors will now spend the next few weeks assessing the three bids. The bidding teams have spent the last 18 months working on their plans to become Halton Borough Council’s private sector par
    Read More

Highlighted Content