Badung Regency Plans Electronic Road Pricing for Gatsu-Canggu Route
The Badung Regency Government plans to implement an Electronic Road Pricing (ERP) system. This proposal is intended for a newly designed 19-kilometre route stretching from Jalan Gatot Subroparte (Gatsu) Barat towards the Canggu area and extending to Mengwi.
“One of the solutions is through ERP. This is to ensure road services are maintained and the environment is preserved,” said the Regent of Badung, I Wayan Adi Arnawa, on Thursday (3/9/2026).
According to Adi, all plans are currently in the study phase. However, he acknowledged that the government’s internal team has already conducted various technical calculations. At this stage, Adi Arnawa is focused on ensuring the new road project can be realised.
The ERP implementation plan covers the second phase of infrastructure development, connecting Jalan Gatsu Barat to Canggu in the North Kuta District, leading towards the Mengwitani area and Werdi Bhuwana in the Mengwi District. The project will also feature a 2.4-kilometre underground tunnel at the end of Gatsu Barat to penetrate densely populated residential areas.
“If we were strictly bound by the existing conditions, we would never be able to build this road. That is why we are implementing tunnel technology for approximately 2.4 kilometres from Gatsu heading west,” said Adi Arnawa.
The former Badung Regional Secretary ensured that the construction of the new road would not alter green zones or disturb productive land in the project’s impact area. “We do not want the creation of a new road to lead to land-use conversion, as this route passes through paddy fields,” he added.
The ring road project is designed to begin land acquisition in 2027, with construction following in 2028. To refine the technical planning, the Badung Regency Government has engaged a consultant from Shanghai, China.
“We recently met with consultants from Shanghai and have given them three weeks to complete their study. According to the consultants, this tunnel technology would be the first of its kind in Indonesia,” said Adi Arnawa.
Previously, the Badung Regency Government had established communication with PT Sarana Multi Infrastruktur (SMI) to prepare for an additional debt of approximately Rp 2.6 trillion. This second phase of borrowing is partly intended to fund the 19-kilometre ring road project from Gatsu Barat to Canggu and Mengwi, serving as a new access point to central and northern Badung.
The Badung Regency Government also confirmed that the region’s Debt Service Coverage Ratio (DSCR) reaches over Rp 5 trillion, ensuring financial capacity is considered if the loan option is utilised.
Furthermore, the Badung Regency Government is exploring a collaboration with Shanghai Tunnels Engineering Co. Ltd (STEC) to undertake the 2.4-kilometre tunnel at a depth of 15 metres, with an estimated cost of Rp 3.5 trillion.
The underground infrastructure project aims to complete its technical study in less than a month to facilitate land acquisition and the restructuring of the tourism area.