Indonesian Political, Business & Finance News

Minister Keeps MRT Lebak Bulus-Serpong Route Secret to Thwart Land Speculators

| Source: CNBC Translated from Indonesian | Infrastructure
Minister Keeps MRT Lebak Bulus-Serpong Route Secret to Thwart Land Speculators
Image: CNBC

The government plans to extend the MRT line to South Tangerang. However, Transport Minister Dudy Purwagandhi has confirmed that his ministry will not yet disclose the project’s exact route to the public. The Jakarta MRT project from Lebak Bulus to Serpong, South Tangerang, is currently ongoing. The feasibility study for this interconnection route is targeted for completion by the end of 2026.

"We usually won’t open (the route). Why? Because of land speculators. They will be everywhere. If this leaks, it will affect land acquisition costs," Dudy said on Saturday (28/6/2026). The news has sparked speculation on social media, with some suggesting the line will pass through Pondok Aren, while other information points to Pondok Cabe.

According to Dudy, if the route information becomes public before project execution, it could lead to soaring land price speculation and potentially disrupt implementation. "Land that was originally Rp 1 million could become Rp 30 million. In the end, the public suffers, and only the brokers benefit," he stressed.

Dudy emphasised that route determination is entirely part of the assessment by the investors who will build the project. Investors are better positioned to consider potential passenger numbers and investment efficiency before deciding on the best route. "They will look at it from an economic perspective to see which route is profitable. Whether to go through Pondok Cabe, where demand might still be high, or through Pondok Aren, we don’t know yet. Even if a decision is made, they usually keep it to themselves so investment costs don’t rise," he said.

From the government’s perspective, Dudy added, the most important thing is not determining a specific line or route, but rather how mass transport services can be expanded and connected to Jakarta’s buffer zones. "But if Sinarmas goes through BSD, the final destination is BSD. It’s up to them which way they go. For me, the important thing is that the reach is further and connectivity is better," Dudy explained.

For context, PT MRT Jakarta President Director Tuhiyat stated that the feasibility study for this project is being conducted by the private sector, namely Sinarmas, which is also the developer of BSD, with a target completion by the end of the year. However, the completion of the feasibility study does not mean construction can begin immediately the following year. Tuhiyat explained that a series of steps must still be taken after the study results are released, including institutional discussions, financial schemes, and the preparation of detailed technical designs.

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