Nusantara Airport development progress reached 50%
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 - Progres Pembangunan Nusantara Airport capai 50%
4 July 2024
By Ichsan Amin
Jakarta, ID – The government is actively advancing the construction of a very very important person (VVIP) airport in Nusantara Capital City (IKN). Currently, the progress of the VVIP airport, named Nusantara Airport, has reached 50%.
Air Transportation Directorate General Secretary of the Transportation Ministry Sigit Hani Hadiyanto said that his agency, with the Public Works and Housing (PUPR) Ministry, was continuously developing the VVIP airport in IKN to ensure its timely completion.
“It is continuously progressing. The Transportation Minister visits whenever he has the opportunity. Our target is for it to be operational by 1 August, just in time for the activities scheduled for 17 August,” Sigit said at Indonesia AERO Summit 2024 on Wednesday (3/7/2024).
The government’s efforts to expedite the VVIP airport in North Penajam Paser, East Kalimantan are in response to the finalised land status for the airport. This follows the Land Bank Agency’s previous decision to transfer the land management rights to the Transportation Ministry.
According to Sigit, as of today, the construction progress of the VVIP airport, known as Nusantara Airport, has reached 50%. The airport covers a land area of 621 hectares (ha) and features a terminal spanning 7,350 square meters (m²). Additionally, the airport area itself spans 347 ha, with a runway measuring 3,000 meters in length and 45 meters in width.
Down the line, the IKN airport will be able to accommodate wide-body aircraft, such as Boeing 777-300ERs and Airbus A380s. “The progress, if we are not mistaken, has reached around 40%-50%,” Sigit explained.
According to him, there is no plan for Nusantara Airport to serve commercial flights. Sigit explained that the special airport was planned to cater state guests and facilitate government activities in IKN. “The main concern is that the airport is a special airport, not a commercial airport,” he added.
Besides that, the IKN airport does not have a code that is typically granted to commercial airports. “No, the special airport is prepared to facilitate VVIP activities in IKN. The status of the airport is a VVIP airport,” Sigit said.
Sigit said that, in accordance with the presidential regulation, Nusantara Airport’s status was a VVIP airport. It cannot be ensured if it will be used commercial purposes or not. “Currently, the presidential regulation that regulates the airport outlines that it is a VVIP airport,” he added.
Meanwhile, an aviation observer, Gatot Rahardjo, revealed that developing the VVIP airport for commercial purposes needed a long and extensive process. So, it can potentially miss the set target.
“The government can target to complete the IKN airport as a VVIP airport. For commercial uses, it depends on the public. It still needs to be certified by an international aviation organisation,” he told Investor Daily.
However, he believes that the trial run of the airport can be conducted by the regulator, in this case the Air Transportation Directorate General of the Transportation Ministry. “I believe it can be conducted by the Air Transportation Directorate General as the specification and standard is more or less the same,” he revealed.
He further noted that the development of the airport was made possible due to the government’s support for the construction of Nusantara Airport. “I think it can develop as long as there is a high passenger potential. There is a certainty that civil servants will relocate to IKN, which can be a viable market for airlines looking to establish routes to and from IKN,” he added.
Clear land status
Previously, Land Bank Agency Head Parman Nataatmadja clarified that the land status for the VVIP airport in IKN has been fully resolved and was no longer an issue. He confirmed that the land management rights have been officially transferred to the Transportation Ministry.
“The land management rights have been officially transferred from the Land Bank Agency to the Transportation Ministry. This designation now classifies it as a state asset under the purview of the Transportation Ministry,” Parman said as quoted by Antara.
Therefore, Parman continued that the land designated for the VVIP airport in IKN has now been transferred to the Transportation Ministry.
“The status is clean and clear. The social and community impact handling (PDSK) programme has been implemented by North Penajam Paser Regency Government. When it is completed, only the [airport] construction remains,” he said.
The resolution of the land status for Nusantara Airport is appreciated by PUPR Minister Basuki Hadimuljono. According to him, the Land Bank Agency has facilitated the construction of the VVIP airport in IKN by accelerating land provision at the airport site.
“We appreciate the Land Bank Agency for accelerating the provision of land for the construction of the 621-hectare airport. Without the Land bank Agency accelerating land provision, the airport construction project cannot be completed. Therefore, we are expressing our appreciation,” Basuki, who is also the Acting Nusantara Capital City Authority (OIKN) Head, stated.
The Land Bank Agency currently holds the management rights to a land supply spanning 18,758 hectares across 30 regencies and cities in Indonesia. In the North Penajam Paser Regency, a total of 4,161 hectares has been allocated, with 621 hectares set aside specifically for airport development and an additional 1,758 hectares earmarked for agrarian reform. The remaining area from the initial 4,161 hectares will be managed by the Land Bank Agency for the development of commercial areas, ports, educational facilities, and other public amenities.
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