Passing through Eight Regions Solo - Kertosono Toll Road


Kamis, 09 Agustus 2012 - 19:24:31 WIB

Solo - Kertosono Toll Road: Passing through Eight Regions 

SOLO - When commencing operation, Solo - Kertosono (Soker) Toll Road will be the longest toll road in Indonesia. Head of Work Unit (Satker) for Solo - Kertosono Freeway Implementation, Brawijaya, explained that the 181km-long toll road is a public private partnership (PPP) project.

The PPP scheme has been used because, for the investor to fully finance the project, its financial internal rate of return on capital is low, at only 12 per cent, and the capital payback period, seen from the perspective of toll road business, will be very long because it is hampered by the people’s ability to pay the toll fees.

In terms of financing, the completion of Soker Toll Road requires project costs to the tune of almost Rp 11 trillion, or more precisely Rp 10.98 trillion. These costs cover the cost of land acquisition amounting to Rp 1.85 trillion, the cost of construction undertaken by the government amounting to Rp 3.55 trillion, and the cost of construction by the investors amounting to Rp 5.57 trillion. "Soker Toll Road will be the longest and most expensive toll road in Indonesia," said Brawijaya.

Soker Toll Road itself will pass through eight regions, namely Boyolali Regency, Karanganyar Regency, 

Solo City, Sragen Regency in Central Java Province, and Ngawi, Madiun, Nganjuk and Jombang Regency in East Java Province.

For the area of Karanganyar Regency, the local government has acquired at least 1,465 plots of land covering an area of ​​1,199,389m2. Meanwhile in Solo, some 50 land blocks have been affected by the project, covering an area of ​​2.3ha. In Sragen, Commitment-Making Officer (PPK), Sihono SST MT, said compensation payments for the toll road have registered significant progress.
 
According to data nearing the end of June 2012, the compensation payments have already reached Rp 336,543,872,943 (63.23 percent) for 1,584 land parcels, an increase in comparison with the early June achievement of 60 percent, with total compensation payments of Rp 304.2 billion.

Assistant Regional Secretary (Sekda) for Governance of Karanganyar Regional Secretariat (Setda), Any Indrihastiti, said that the land acquisition budget has come from the central government. "The local government is only tasked with acquiring [the lands]," Any, who is also Vice Chairman and concurrently a member of Karanganyar Regency Land Acquisition Committee for Implementation of Development for the Interest of the Public, asserted.

Do not be Restless
Meanwhile, Chairman of Boyolali Land Procurement Committee (P2T), Sri Adiningsih, who is also Regional Secretary of Boyolali, has asked the people not to become restless. Her office has promised to conduct a thorough socialisation. What have currently been done are those socialisation events for lands that will be affected by the toll road project.

Commitment-Making Officer (PPK) for the Land Acquisition of Solo - Mantingan Toll Road, I Abdul Qodir ST, revealed that, until now, the process of land acquisition for the construction of Soker Toll Road in Boyolali and Karanganyar has reached above 60 percent. For Karanganyar Regency, the achievement is already 63 percent.

"And now the land acquisition process is still ongoing and by the end of 2012 the process is expected to have been completed," he stated. (Tim SM-50)

 

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Source: Suara Merdeka Daily (25 June 2012) in http://www.suaramerdeka.com/v1/index.php/read/cetak/2012/06/25/190500/Lewati-Delapan-Wilayah

Translated by INDII in http://www.indii.co.id/news_daily_detail.php?id=4120

 


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