There is the Sabo Dam Development, the Budget for the Recovery of Post-disaster Infrastructure in Sumatra is Projected to be Rp74 Trillion

JAKARTA - The Minister of Public Works (PU), Dody Hanggodo, revealed that there would be additional funds of up to around Rp74 trillion for the post-disaster infrastructure recovery of Sumatra. Initially, the estimated budget needs for basic infrastructure development reached around Rp51.8 trillion.

Dody said the additional budget was due to the construction of a new dam in the three provinces affected by the disaster.

"Actually, the proposal plan is Rp70-Rp74 trillion. However, according to the rules, we must make a master plan which we submit to the Head of Bappenas for review, then it will be approved by all the board of directors, including BPK, Coordinating Minister for Economic Affairs, and so on."

"Why is it increasing from Rp. 51 trillion? Because earlier, there was an additional (construction) of a new sabotage dam," Dody said in a media briefing at the Ministry of PU's office, Jakarta, Friday, January 16, 2026.

According to Dody, the construction of the sabo dam is very necessary. Moreover, he said, landslides have occurred again in Gayo Lues Regency, Aceh Province, not long ago.

"Moreover, the landslide yesterday in Gayo Lues was a wake-up call for me to make several dams/check dams before the water or sediment/wood reached (Aceh) Tamiang," he said.

He added that his party plans to build around 70 dam sabots in the three affected provinces.

"As far as I know in West Sumatra there are 18-20 (plans to sabotage dams). In Aceh there are about 30 points. Then, in North Sumatra there are 20 (points)," he said.

Previously, the Government estimated the budget needs for post-disaster rehabilitation and reconstruction in Aceh, North Sumatra, and West Sumatra reached Rp51 trillion in the 2026 fiscal year (TA).

To meet the large budget needs, the Ministry of Finance (Kemenkeu) has prepared a number of fiscal steps, including the rearrangement of Ministry and Agency (K/L) spending, relaxation of the Transfer to Regions (TKD) policy, and restructuring options up to the elimination of loans from the National Economic Recovery Program (PEN) for affected Regional Governments.

Deputy Minister of Finance (Wamenkeu), Suahasil Nazara, emphasized that the State Budget (APBN) will be the main instrument in supporting the reconstruction of disaster-affected areas.

Suahasil added that the need for Rp51 trillion in funds was planned to come from various schemes, including the reallocation of infrastructure spending for K/L and the use of disaster funds managed by the Environment Fund Management Agency (BPDLH).

"For the overall estimate of the needs of Rp. 51 trillion, we will do this with various sources. One, the Minister has said that there is the use of budget allocations that are not necessary."

"We will allocate it to meet the needs of rebuilding disaster areas," he said at the APBN KiTa press conference, Thursday, December 18, 2025.