Prospective investors expressed their interest in five government and business cooperation projects offered by the public works and public housing worth Rp57.12 trillion (US$4.08 billion), said the official yesterday - Photo by the PUPR Ministry Office

JAKARTA (TheInsiderStories) – Prospective investors expressed their interest in five public private partnerships (PPP) projects offered by the public works and public housing, said the official yesterday. The projects worth of Rp57.12 trillion (US$4.08 billion).

The director general for public works and public house, Eko Djoeli Heripoerwanto explained, the five projects  are the Multi Lane Free Flow (MLFF) Non-Cash Toll Road System with a length of 1,713 kilometers with costs of Rp2.92 trillion and the Cikunir – Karawaci Toll Road with 40 kilometers with an investment of Rp26.15 trillion.

Then, the preservation of the East Sumatra National Road in Riau, along 43 kilometers with a costs of Rp654.8 billion, Kamal – Teluk Naga – Rajeg Toll Road with a length of 38.6 kilometers with an investment of Rp18.51 trillion, and the Bogor – Serpong Toll Road via Parung along 31.12 kilometers with an investment of Rp.8.95 trillion.

He added, that an evaluation of the market assessment will be conducted later on the time limit provisions in accordance with the laws and regulations. “Its possible that in the third quarter of this year (to start the auction of five PPP projects being offered),” he told reporters at the sideline of the market sounding at his office.

According to chair of KADIN Indonesia, Didit Ratam, Russian investors were interested in the (MLFF) Non-cash Toll Transaction System project. While, corporate secretary of PT Jasa Marga Tbk (IDX: JSMR), Agus Setiawan said that his party was also exploring opportunities in PPP projects offered, particularly related to MLFF.

The construction of toll roads and improving the quality of national roads have an important role as an artery in inter-regional connectivity and logistics cost efficiency in Indonesia. Therefore, he stated that this activity was considered very important in developing connectivity in Indonesia and responding to the challenges of infrastructure financing needs.

“Through the PPP scheme, it is hoped that leverage will arise from the results of its investment, so that profits can be used for other infrastructure development,” he said.

US$1: Rp14,000

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