Latest Indonesia’s toll road infrastructure development and the need to maximize sustainability in toll road construction, as well as to adopt a comprehensive financing strategy to bring additional levels of predictability and certainty to the PPP laws and frameworks to deliver the project by 2024, including the construction of fee-charging highway that stretches 5,400-km across Java, Sumatra, Kalimantan, Sulawesi, Bali and Nusa Tenggara, costing US$70 billion, as well as reviewing toll road investment opportunities currently available in other part of Indonesia
The newly-re-elected government of Indonesian President Joko Widodo has recently announced plans for an unprecedented programme of toll road infrastructure development to cut journey times on the world’s largest archipelago. Indonesia will partner with the private sector to fund a US$70 billion investment in 5,400-km worth of new highways that stretches across Java, Sumatra, Kalimantan, Sulawesi, Bali and Nusa Tenggara, with more than half of the proposed new toll roads will be rolled out on Sumatra, involving large bridges and long tunnels, including advanced construction techniques will be required in some locations, to hold up a road bridge 100 meters above the ground or to build several kilometres of tunnels. The expected project completion will be by 2024. To meet the massive requirement of funds, special financing strategies are needed, as raising adequate resources from budgetary resources alone is very difficult. The financing for the project will be from state budget and private investments. As such, this conference provides an opportunity to attract new financing partners, as well as a platform to share latest update on additional level of predictability and certainty to the PPP laws and frameworks.