Home » HK-HKI WIN THE AUCTION: Construction of Trans Papua Begins Soon

HK-HKI WIN THE AUCTION: Construction of Trans Papua Begins Soon

by Senaman
0 comment

DEVELOPMENT – With the end of the first quarter in 2024. PT Hutama Karya (Persero) was confirmed as the winner of the auction for the construction of the Trans Papua Road for the Jayapura-Wamena and Mamberamo-Elelim segment in the Papua Mountain Province worth IDR 3.3 trillion by the Ministry of Public Works and Public Housing (PUPR).

The  project of Mamberamo-Elelim Trans Papua Road is being carried out by PT Hutama Karya (Persero) and PT Hutama Karya Infrastruktur (HKI) with a government and business entity cooperation (KPBU).

As Executive Vice President of (EVP) Hutama Karya Corporate Secretary, Adjib Al Hakim said this project had previously been studied since the market search for the Trans Papua PPP project on September 6 2022, and in addition the investment value or Capital Expenditure (CAPEX) reaches IDR 3.3 trillion and the return scheme that will be used is in the form of Availability Payment.

“This project will have a concession period of 15 years consisting of 2 years of construction and 13 years of maintenance,” said Adjib.

With this project, the Hutama Karya consortium with a share of 55% and HKI 45% will work on planning and developing technical and conceptual designs for construction to completion of the project building, preparing sources of project financing. And by operating the project after completion of construction, maintenance and repair activities during maintenance operations, and returning ownership or management of the project to the government after 15 years transfer.

In the next stage, the HK and HKI consortium will form a joint company which will act as the Implementing Business Entity (BUP) of the Trans Papua PPP project during the concession period which begins with signing a PPP agreement with the Ministry of PUPR as the Person in Charge of the Cooperation Project (PJPK).

The Trans Papua PPP project is the main logistics transportation route from Jayapura to Wamena with a length of 50.14 km. The scope of work to be carried out includes handling roads, bridges, repairing slopes and cliffs as well as building weighing facilities.

“This project will be a major step in infrastructure development efforts in Papua and is expected to have a significant impact in the region,” said Adjib.

For the record, apart from Trans Papua, Hutama Karya is currently working on several projects using the PPP scheme, one of which is the development of existing commercial port facilities at the Gorontalo Anggrek Port belonging to the Ministry of Transportation, as well as the Proving Ground development project for the Roadworthiness and Certification Testing Center Motor Vehicles (BPLJSKB) Bekasi, in West Java together with PT Indonesia International Automotive Proving Ground (IIAPG).

You may also like