Infrastructure in Indonesia: 13 New Toll Road Projects to Be Completed
Basuki Hadimuljono, Indonesian Minister of Public Works and Public Housing, said the government continues to push for infrastructure development in the form of toll roads in various regions across Indonesia.
In the 2015-2017 period, a total of 332 kilometers of toll roads were added to the nation's toll road network. Meanwhile, in the January-September 2018 period another 136.1 kilometers of toll roads were added.
Hadimuljono added that in the October-December 2018 period 13 toll road projects are set to be completed, hence adding another 473.9 kilometers to the country's toll road network.
Infrastructure development in Indonesia is crucial in terms of facilitating a more conducive investment and business climate (for example because it would cut logistics costs), while it also solves several social issues (for example improve access to healthcare).
However, INDEF economist Ahmad Heri Firdaus said it is not certain that the 13 new toll roads will automatically lead to significantly lower logistics costs because the high price of toll road tickets makes many people avoid a new toll road. Research shows that only 20 percent of trucks shifts from the major (public) arterial roads and highways to new toll roads.
New Toll Road Sections to Become Operational in October-December 2018:
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