After nearly ten years without any infrastructure development, the Government of Indonesia, with local government (provinces, regencies and municipalities) especially in Java, consider that toll road development should receive a high priority ranking in accelerating infrastructure development. There are problems with funding such capital intensive projects with slow yielding characteristics, and to mitigate these, the Government of West Java Province will establish a provincial government owned company. For the moment the commercial viability of the toll road project remains at marginal levels. The initiation of the Bandung Intra Urban Toll Road, Cileunyi Sumedang Toll Road, and other networks, if handled by the provincial government owned company through "normal" investment bidding system, may fail, but if it is handled by direct appointment it will not only empower local capabilities, but also will create benefits for both local and central government. (a) For the covering entry of this conference, please see ITRD abstract no. E214938.
Abstract