Dian Kusumo
Minister of Public Works and Public Housing (PUPR) Basuki Hadimuljono said that innovative financing can encourage the acceleration of infrastructure development.
Basuki gave an example of the 1,830-kilometer (km) Trans Java Toll Road project which was completed in 2019. According to him, it is impossible to achieve without financing innovations.
In accelerating development, Basuki admitted to wooing the initiators to free up the land with bailouts.
"It went in innovative. It has never been implemented before. It was faster. And later the funds will be replaced by the Ministry of Finance (Kemenkeu)," said Basuki.
The second innovative financing, continued Basuki, is the cross-subsidy auction. The Ministry of PUPR implemented it through the auction of toll projects. This incentive can be enjoyed by investors who are able to build tolls with the longest sections.
In addition, there is a PPP scheme in the form of available payments. The scheme is not only for construction, but comes down to the maintenance of roads.
(DKH)
