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Bali's $20 Billion Subway Project: Indotek and China Railway Lead Phase One

Heru Febrianto
September 6, 2024 | 5:54 pm
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The traffic jam on the Bali Mandara Toll Road heading to I Gusti Ngurah Rai International Airport in Badung Regency, Friday, Dec. 29, 2023. (ANTARA/Naufal Fikri)
The traffic jam on the Bali Mandara Toll Road heading to I Gusti Ngurah Rai International Airport in Badung Regency, Friday, Dec. 29, 2023. (ANTARA/Naufal Fikri)

Denpasar. Sarana Bali Dwipa Jaya (SBDJ), representing the Bali Provincial Government, has appointed digital solutions company Indotek as the lead contractor for the Bali Urban Subway project, with China Railway Construction Corporation (CRCC) and Bali-based Sinar Bali Bina Karya as key partners. CRCC, known for its role in the Whoosh high-speed rail project, will collaborate on this venture.

The project's first phase will span 16 kilometers from I Gusti Ngurah Rai Airport to Cemagi, including Central Parkir Kuta and Seminyak-Berawa.

Ari Askhara, CEO of SBDJ and former President Director of Garuda Indonesia, announced the use of 10 Tunnel Boring Machines (TBMs) to ensure timely completion and address Bali’s traffic issues.

“The construction will reach a depth of 30 meters, with a double-track standard of 1,435 mm for the Bali Urban Subway,” Ari said in a statement on Friday.

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Bali's $20 Billion Subway Project: Indotek and China Railway Lead Phase One
Sarana Bali Dwipa Jaya (SBDJ) has appointed Bumi Indah Prima (BIP) as the Qualified Partner and Lead Consortium of Investors for the Bali Urban Rail and Associated Facilities project, on Friday, Sept. 6, 2024 (Photo: Bali Provincial Government)

Bali Governor Pushes for Airport-Canggu Subway Which Attracts Chinese, European Investors

SBDJ has selected Bumi Indah Prima (BIP) as the Qualified Partner and Lead Consortium of Investors. This strategic initiative, led by Acting Governor Sang Made Mahendra, aims to overcome public transport stagnation and budget constraints.

The project, estimated to cost up to $20 billion (Rp 324.4 trillion), will use "a non-conventional investment approach", engaging the consortium to discuss and finalize business concepts, plans, and technical designs.

Groundbreaking Ceremony for Phase 1
On Wednesday, Acting Governor Sang Made Mahendra and Badung Regent I Nyoman Giri Prasta attended the groundbreaking ceremony for the Transit-Oriented Development (TOD) at Central Parkir Kuta, marking the start of the Bali Urban Subway project. This initial phase will span from I Gusti Ngurah Rai Airport to Cemagi.

The project will be completed in phases: the first from I Gusti Ngurah Rai Airport to Cemagi, the second from I Gusti Ngurah Rai Airport to Nusa Dua, the third from Central Parkir Kuta to Sanur, and the fourth from Renon to Ubud.

Bali Launches Investment Tender for Subway System Connecting Airport to Canggu

During the ceremony, Acting Governor Mahendra explained that "pengeruwakan," meaning "opening," symbolizes the beginning of land development and the alignment with nature. He also noted that eight TBMs, with a diameter of 7.2 meters, will be used, surpassing the two TBMs used in Jakarta’s MRT.

Badung Regent Giri Prasta expressed commitment to the TOD project, emphasizing that it will be developed on land provided by the Badung Regency (2 hectares) and the Bali Provincial Government (5 hectares). 

“This project is aimed at enhancing convenience and addressing traffic issues without burdening local or provincial budgets,” Prasta concluded.

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