Koster Allocates Additional Rp 2.5 Billion Compensation for Residents Affected by Shortcut 9-10
The Bali Provincial Government is preparing an additional compensation package of Rp 2.5 billion for residents affected by the Singaraja-Mengwitani shortcut project, specifically at points 9-10 in Pegayaman Village, Sukasada District, Buleleng Regency. This supplementary aid was introduced following protests from residents regarding land acquisition compensation values, which were considered inconsistent with actual field conditions.
Governor of Bali, Wayan Koster, stated that the official land compensation value cannot be increased further as it has undergone an assessment by appraisal agencies in accordance with applicable regulations. Nevertheless, the Bali Provincial Government is providing additional assistance through a regional grant programme. “The residents have agreed. There were initially issues regarding compensation, but from the appraisal agency’s calculations, it cannot be raised further as it must comply with the rules. Beyond that, we are providing assistance from the Provincial Government programme amounting to Rp 2.5 billion,” Koster said on Sunday (17/05/2026).
He noted that the additional compensation is targeted for disbursement during the upcoming budget revision. Previously, residents questioned the compensation value, which was reported to be approximately Rp 19.4 million per are. Residents argued that this figure remains significantly below the market price for land in the area, which ranges from Rp 37 million to Rp 50 million per are. In addition to land, residents also felt that the compensation for productive crops, such as clove trees, was too low. Currently, approximately 14 households involving 19 land files are still in the process of being fully resolved.
Marlan, one of the affected residents, expressed gratitude to the government for its attention to the community impacted by the shortcut project. “We would like to thank the Governor. He has promised to provide a grant of Rp 2.5 billion. We hope the disbursement can be realised soon,” said Marlan.
He added that four residents’ houses are located directly on the project path and cannot yet be relocated due to financial constraints. According to him, approximately 30 people require temporary housing before the demolition process begins. “Our hope is that before demolition takes place, the relevant parties can assist in providing temporary accommodation,” Marlan said. He also expressed hope that the management of drainage and the environment will be prioritised after construction is completed to prevent new issues from arising within the community.