Indonesian Political, Business & Finance News

PTPP Accelerates West Residence Road Development at IKN, Achieving 65.85% Progress

| Source: CNBC Translated from Indonesian | Infrastructure
PTPP Accelerates West Residence Road Development at IKN, Achieving 65.85% Progress
Image: CNBC

PT PP (Persero) Tbk (PTPP) has reported positive progress in the development of the West Residence Road Improvement project within the Integrated Core Area of the National Capital Government Zone (KIPP) at Nusantara Capital City (IKN). As of March 2026, the project’s construction progress has reached 65.848%, exceeding the planned target of 60.694%, representing an acceleration of 5.154%.

The project, undertaken by the PT PP-MWT-SBS consortium partnership, officially commenced following the issuance of the Work Commencement Order (SPMK) on 29 July 2024, with a contract value of approximately Rp1.3 trillion. In this project, PTPP actively ensures optimal construction execution whilst prioritising workplace safety standards, construction quality, and timely project completion.

The West Residence Road Improvement project encompasses integrated road infrastructure development with utilities, drainage systems, pedestrian facilities, and the landscaping of green open spaces in the Nusantara Capital City area. In its implementation, PTPP and the consortium partnership have applied various construction innovations and logistics optimisation to maintain project acceleration momentum amid the high level of development activity in the IKN zone.

Beyond supporting new capital infrastructure development, the project generates multiplier effects for the regional economy through the employment of approximately 600 workers, involvement of various work partners and subcontractors, and the use of large quantities of construction materials that support construction sector supply chain activities.

East Kalimantan Governor Rudy Mas’ud expressed appreciation for the infrastructure development in the area, stating: “Extraordinary road, soon operational for Indonesia.”

PTPP Corporate Secretary Joko Raharjo noted that exceeding the progress target demonstrates the company’s commitment to supporting strategic national infrastructure development. “PTPP remains committed to delivering superior construction quality and ensuring strategic national projects at Nusantara Capital City proceed on schedule and provide benefits for regional development and future connectivity,” he said.

With this progress achievement surpassing targets, PTPP remains optimistic that the West Residence Road development will soon support mobility and connectivity within the government core area at IKN whilst strengthening PTPP’s role as a leading contractor in Indonesia’s new capital city development. This infrastructure development aligns with the government’s efforts to promote equitable development and new economic growth across various Indonesian regions, consistent with the national development vision of Asta Cita.

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