PT Hutama Karya (HK) has been named by the Ministry of Public Works and Housing (PUPR) as the winner of the bidding for the construction of the Trans Papua Road section from Jayapura to Wamena, specifically the Mamberamo-Elelim segment in Papua Mountains Province.
The Trans Papua Mamberamo-Elelim Road project, valued at Rp3.3 trillion (US$228.38 billion) is undertaken by a consortium of PT Hutama Karya and PT Hutama Karya Infrastruktur (HKI) under the public-private partnership (PPP) scheme.
Executive Vice President (EVP) and Company Secretary of Hutama Karya, Adjib Al Hakim, said that this project had been under consideration since the exploration of the PPP Trans Papua project market on September 6, 2022, with a capital expenditure (CAPEX) of IDR 3.3 trillion and an Availability Payment repayment scheme.
“This project will have a concession period of 15 years, consisting of a construction period of 2 years and a maintenance period of 13 years,” Adjib said.
In this project, the Hutama Karya consortium with a 55 percent share and HKI with a 45 percent share will be responsible for planning and developing technical and conceptual designs, construction, and project completion. Additionally, the consortium led by HK will also provide project financing, operate the project after completion, handle maintenance activities, and transfer project ownership or management to the government after 15 years.
The Trans Papua PPP project serves as a vital logistics transportation route from Jayapura to Wamena, spanning 50.14 kilometers. The scope of work includes road construction, bridge construction, slope and cliff repairs, and the establishment of weighing facilities.
In the next phase, the HK and HKI consortium will establish a joint venture company to serve as the Project Implementing Agency (PIA) for the Trans Papua PPP project during the concession period, which will begin with the signing of a PPP agreement with the Ministry of PUPR as the Project Cooperation Responsible Party (PJPK).
Furthermore, Adjib said that the presence of the Trans Papua PPP project would boost economic growth, improve accessibility and connectivity, and expand the road network, which is expected to enhance the welfare of the people in Papua.
“This project will be a significant step in infrastructure development in Papua and is expected to have a significant impact in the region,” he said.
In addition to Trans Papua, Hutama Karya is currently working on several PPP projects, including the commercial development of existing port facilities at the Anggrek Gorontalo Port owned by the Ministry of Transportation and the Proving Ground development project for Vehicle Testing and Motor Vehicle Certification (BPLJSKB) in Bekasi, West Java, with PT Indonesia International Automotive Proving Ground (IIAPG).