JAKARTA (TheInsiderStories) – The consortium of PT PP Tbk (IDX: PTPP), PT Wijaya Karya (IDX: WIKA), and PT Misi Mulia Metrika along signed an agreement to build Semarang – Demak Toll Road in Central Java. The toll road with long 27 kilometers will integrated with the Semarang City Sea Wall.
According to public works and public house minister Basuki Hadimuljono in an official statement released today (09/24) the projects need costs Rp15 trillion (US$1.07 billion). The project use public private partnerships scheme and guaranteed by the government.
“Today we begin the construction of the toll road continuing from Semarang to Surabaya in the northern lane. In the initial stage we built Semarang – Demak combined with dykes sea at the same time to tackle rob in Semarang,” said the minister.
He explained, the Semarang – Demak Toll Road would continue to Kudus – Pati – Rembang – Lasem – Tuban to connect Central and East Java. In addition, a toll road will also be built will connect Kendal with the Port of Semarang.
Hadimuljono assured that the government continues to encourage the Trans Java toll road to be connected to industrial estates that have now emerged such as in Ngawi and Nganjuk and support access to tourism destinations.
Head of Toll Road Management Agency at the ministry Danang Parikesit added, the construction of the toll road is targeted in two years time. The toll road projects have two section and build gradually.
Recently, Indonesian president Joko Widodo, announced that the government prepares East and Central Java provinces as the center of national economic development. Both province were considered to have the driving force towards the country’ export and investment performance.
He hopes that investment and development in East Java will later be able to make a major contribution to national economic growth. He advised the governors focus on the effort to completed the program as soonest as possible.
In East Java, governor Khofifah Indar Parawansa has launched a plan to build a public transportation system to connect Gresik-Bangkalan-Mojokerto-Surabaya-Sidoarjo-Lamongan or called Surabaya Eastern Ring Road. While, Central Java’ governor Ganjar Pranowo plans to build three industrial sectors such as food-drink products, textiles, and textile products, and furniture.
Parawansa said, in addition to facilitating the connectivity between one district in an industrial area in the region, it would also provide additional public transportation, including Light Rail Transit.
She also hoped that the project can be expanded to the city of Tuban, in anticipation of the Tuban refinery development project. The petrochemical project itself is still awaiting completion of land.
“We also want to provide convenience by cutting the transportation costs of goods and services around Gerbangkertasusila,” she said in Bogor Palace, on July 10.
In addition, she also announced plans to develop a cable car to connect major tourist destinations in the province such as Mount Bromo, the Tengger plateau and Mount Semeru to encourage development in these areas.
Previously, Parawansa had requested the assistance of PT Pelabuhan Indonesia III announced to expand the capacity of Tanjung Tembaga Port in the northern coastal city of Probolinggo to allow cruise ships to dock at the port. It hope to connect the port and Mount Bromo, the Tengger plateau, Mount Semeru and get access to Sumenep.
While, Pranowo said there were three sectors that Central Java expected to get support from the central government namely food-drink products, textiles and textile products, and furniture. The governor explained that Central Java today competes with Vietnam again.
“We want Central Java to become the center of Indonesia’ furniture. The President understood very well about that. So we pushed this from before,” he said.
He expected that there will be industrial development in Brebes, the acceleration of connectivity infrastructure in the Borobudur area, and the strengthening or addition of capacity from the Port of Tanjung Mas, Semarang, in order to support the Kendal industrial area, Central Java.
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