Draft Permen Governs the Scheme for the Takeover of Toll Road Assets

Draft Regulation of the Minister of Public Works (“ Rapermen ”) on Takeover and Operation of Toll Roads Upon the Expiration of the Concession Period establishes a scheme for the transfer of assets from business entities. This is intended to ensure that the condition of toll roads is maintained in accordance with their planned service life at the time of handover at the end of the concession period.

“To ensure this, a mechanism for administrative and technical inspections conducted jointly with the relevant parties is stipulated,” said the Head of the Toll Road Regulatory Agency (Badan Pengatur Jalan Tol- “ BPJT ”), Wilan Oktavian, to Hukumonline.

This draft regulation sets out the obligation for toll road business entities to carry out necessary repairs no later than three years prior to the expiration of the concession period. It also provides for a maintenance guarantee mechanism to ensure that all such obligations can be fulfilled in an accountable manner.

“During this period, BUJT shall remain fully responsible for maintaining service quality in accordance with the Minimum Service Standards (Standar Pelayanan Minimum/SPM) until the end of the concession period,” Wilan stated.