This article has been translated by PwC Indonesia as part of our Indonesia Infrastructure News Service. PwC Indonesia has not checked the accuracy of, and accepts no responsibility for the content.
Investor Daily - Serap PMN 76%, Hutama Karya bangun JTTS 809 km
29 April 2024
Jakarta, ID – PT Hutama Karya (Persero) or HK will realise connectivity among eight provinces on Sumatra through the Trans-Sumatra Toll Road (JTTS) project. They will take advantage of the state equity participation (PMN) worth Rp112.5 trillion that has been absorbed by 76% to construct JTTS spanning 809 kilometres (km).
Hutama Karya Corporate Secretary Executive Vice President (EVP) Adjib Al Hakim said that the additional PMN for Hutama Karya has been approved by the government through Law No. 19/2023 on 2024 State Budget (APBN) issued on 16 October 2023 and Presidential Regulation No. 76/2023 on Details of State Budget for Fiscal Year 2024.
“The PMN worth Rp18.6 trillion will be used to accelerate the construction of the toll road on Sumatra, including the completion of the first phase of JTTS and the continuity of the second phase of JTTS,” Adjib said in his press statement on Sunday (28/4/2024).
Adjib explained that, in detail, Rp5.17 trillion will be used to complete the first phase of JTTS, encompassing Binjai-Langsa (Binjai-Pangkalan Brandan Section), Indralaya Interchange-Muara Enim (Indralaya Interchange-Prabumulih Section), Kisaran-Indrapura, Kuala Tanjung-Parapat (Kuala Tanjung-Pematang Siantar Interchange), Lubuk Linggau-Bengkulu (Lubuk Linggau-Taba Penanjung Section), Sigli-Banda Aceh, Pekanbaru-Padang (Sicincin-Padang Section), and Pekanbaru-Padang (Pekanbaru-Koto Kampar) segments.
Meanwhile, Rp13.42 trillion will be allocated to construct the Kayu Agung-Palembang-Betung (Palembang-Betung Section) segment spanning 69 km that is part of the second phase of JTTS.
The continuity of this segment is important as it is the backbone that will connect Bakauheni Port to Jambi. The project is also included as a national strategic project based on Coordinating Minister for Economic Affairs Regulation No.7/2023.
Adjib said that the PMN realisation would provide a multiplier effect for several parties, including the government, citizens, and companies. “JTTS will facilitate connectivity on Sumatra and Java. It will also support regional equity through an increase in workforce absorption during the concession period of the toll road. Travel time will be more efficient and transportation costs for goods, services, and passengers will be lower,” he stated.
He further emphasised that the effectiveness of JTTS has been validated by the enthusiastic response from citizens, evident in the increase in traffic volume during the Eid homecoming period in 2024. Hutama Karya highlighted that the daily vehicle count reached tens and hundreds of thousands, exceeding 1.5 million vehicles during this period. JTTS not only reduces travel time but also offers an alternative route for travellers.
From the APBN for Fiscal Year 2025, Hutama Karya is also seeking PMN to be allocated for the continuation of the construction of JTTS segments in the second phase.
Previously, through a work meeting with House of Representatives (DPR) Commission VI on Tuesday (19/3), State-owned Enterprises Minister Erick Thohir expressed his full support for the additional PMN to be allocated to Hutama Karya, aiming to achieve long-term infrastructure equity.
“We are also seeking PMN in 2025 to continue our current programmes, which can be recorded from this year to the next,” Erick added.
Nine segments of JTTS are currently operating, including the Palembang-Indralaya, Pekanbaru-Dumai, and Terbanggi Besar-Pematang Panggang-Kayu Agung segments.
