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.
Kontan - Gudang Garam (GGRM) garap Tol Kediri-Tulungagung,nilai investasi Rp9,92 triliun
28 February 2024
By Vendy Yhulia Susanto
Kontan.co.id – Jakarta. The Public Works and Housing (PUPR) Ministry with PT Gudang Garam Tbk (GGRM), East Java Provincial Government, and PT Penjaminan Infrastruktur Indonesia (PII) is aiming to construct Kediri-Tulungagung toll road spanning 44.17 km.
The toll road construction is an unsolicited project that will implement the public-private partnership (PPP) scheme.
The implementation of this project will be marked by signings of the toll road concession agreement (PPJT), the regress agreement, and the underwriting agreement for Kediri-Tulungagung toll road.
PUPR Minister Basuki Hadimuljono appreciates PT Gudang Garam Tbk that has planned the construction of Kediri-Tulungagung toll road.
“It is a very strategic business decision as it will connect operational [segments of] Trans-Java toll road to the southern coast route,” Basuki said on Tuesday (27/2).
According to Basuki, the construction of Kediri-Tulangagung toll road will improve the economy of locals.
Moreover, Kediri-Tulangagung toll road is located in an area rich with agro-industrial potential and maritime resources. Additionally, it holds the capacity to expedite logistics distribution, thereby fostering a positive impact on both industrial productivity and tourism.
The PUPR ministry, on behalf of the government, will offer technical assistance to ensure the toll road construction quality. This support encompasses everything from design planning to the construction process, which will be closely monitored by the Highways Directorate General.
Meanwhile, the financial aspect will be managed by the Infrastructure Financing Directorate General and the Toll Road Regulatory Agency.
Besides that, the government will also provide support to mitigate the risks of the toll road construction through PT PII that is under the Finance Ministry.
BPJT Head of the PUPR Ministry Miftachul Munir added that the construction Kediri-Tulungagung toll road that was initiated by PT Gudang Garam Tbk has an investment value of Rp9.92 trillion with a concession period of 50 years.
Moreover, the managing toll road business entity is PT Surya Sapta Agung Tol.
Kediri-Tulangagung toll road spanning 44.17 km consists of the Dhoho Airport access that spans 6.82 km and the main road segment that spans 37.35 km.
“The toll road has 2x2 lanes and 4 interchanges located in Bulawen Kediri, Mojo, and Tulungagung,” Munir explained.
The construction of Kediri-Tulungagung toll road is planned to commence in the second quarter of 2024.
The access to Dhoho Airport in Kediri is set to operate in March 2025. Then, it will be followed up by the main road segment that will connect Kediri-Mojo-Tulungagung, set to operate in the third quarter of 2025.
