PAM Jaya Prepares IDR 22.8 Trillion Investment to Overhaul 13,000 Kilometres of Water Pipes
PAM Jaya is preparing an investment worth IDR 22.8 trillion to overhaul 13,000 kilometres of clean water pipe networks in Jakarta. The move aims to address the problem of water loss, or non-revenue water (NRW).
PAM Jaya President Director Arief Nasrudin stated the company plans to conduct a market sounding in December 2026. This is an initial step to seek an investment scheme for replacing the pipe network.
‘We will conduct a market sounding soon, with a target around December,’ he said in a statement on Tuesday (28/7/2026).
He added that the investment exploration will be carried out carefully, given the substantial value required, which necessitates thorough preparation. This is especially so as PAM Jaya’s current financial condition is still relatively healthy. ‘We must calculate carefully whether an investment of this size can provide adequate returns through a business-to-business (B2B) scheme,’ Arief said.
He explained that reducing NRW is a priority programme for the company. The definition of NRW, he noted, refers to Minister of Public Works and Housing Regulation No. 18 of 2007, which categorises water loss into three types: unbilled authorised consumption, commercial losses, and physical losses.
Meanwhile, Nova Harivan Paloh, Chair of Commission B of the DKI Jakarta Regional House of Representatives (DPRD), assessed that PAM Jaya’s approach to tackling the NRW issue is quite comprehensive. He acknowledged the significant cost required to replace approximately 13,000 kilometres of pipe networks.
‘I see that the steps prepared by PAM Jaya are quite comprehensive in resolving the water leakage problem. We from Commission B certainly appreciate PAM Jaya’s hard work in striving to reduce the NRW rate,’ he said.
Nova added that PAM Jaya also needs to expand household connections so that the water produced can be optimally utilised by the public. ‘Do not let the water just flow or be stored in the pipe network without being connected to residents’ homes. With the increase in household connections, it is hoped that the NRW rate can decrease from the three categories mentioned,’ he said.