"Today, two projects under the public-private partnership (PPP) scheme to be offered are the Gilimanuk-Mengwi Toll Road Project, with an investment value of Rp19.36 trillion and replacement and/or duplication of the Callender Hamilton Bridge on Java Island, with an investment value of Rp2.36 trillion," PUPR Minister Basuki Hadimuljono noted in a written statement read out by the ministry's Director General for Infrastructure Financing, Eko Djoeli Heripoerwanto, during an online market sounding event here on Wednesday.
The market sounding event is a forum for the government to deliver comprehensive information on PPP projects.
"Furthermore, it aims to gather inputs, responses, and interest from ladies and gentlemen, the audience, for the PPP projects offered by the Ministry of PUPR as the Person in Charge for Cooperation Projects (PJPK) or the Government Contracting Agency," he affirmed.
The PUPR Ministry will persistently communicate with investors and stakeholders to keep them abreast of latest developments pertaining to the preparation of the two projects until the prequalification stage later.
One of the challenges posed in development is the limited budget for infrastructure provision. To overcome this problem, the PUPR ministry continues to encourage innovation in financing infrastructure development, one of which is through the PPP scheme.
Under the PPP scheme, leverage will be created from investment returns, so that the profits can be diverted for other forms of infrastructure development.
Through this scheme, the government offers various facilities and expediency, including through partial construction financing, feasibility support, and government guarantees for PPP projects that are expected to expedite infrastructure development in Indonesia.
According to the 2020-2024 National Medium-Term Development Plan, infrastructure development will continue and become a priority in a bid to connect production areas with distribution areas, facilitate access to tourist areas, boost the creation of new jobs, and accelerate the increase in added value to the people's economy.
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Translator: Aji Cakti, Fardah
Editor: Sri Haryati
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