Inaugurated By The President Of The Republic Of Indonesia, The Semarang Demak Toll Road Section 2 Belonging To PTPP Subsidiaries Ready To Operate

Photo: Doc. PTPP

JAKARTA - PT PP (Persero) Tbk (PTPP), has successfully completed the construction of the Semarang Demak Toll Road Section 2 of the Sayung - Demak Section, Central Java belongs to its subsidiary, namely PT PP Semarang Demak. The toll road project was officially inaugurated by the President of the Republic of Indonesia, Joko Widodo, which was symbolically marked by a procession of pressing the siren button and signing the inscription.

During the inauguration, President Joko Widodo was accompanied by Minister of PUPR Basuki Hadimuljono, Minister of ATR Hadi Tjahjanto, Governor of Central Java Ganjar Pranowo, President Director of PTPP Novel Arsyad, Director of Finance & Risk Management of PTPP Agus Purbianto, ranks of government officials and other officials. The inauguration ceremony was held directly at the Sayung Toll Gate, Central Java today, Saturday, February 25.

PPSD is one of the promising investment portfolios owned by PTPP. PPSD is a subsidiary of PTPP engaged in toll road development and management. In the BUJT, PTPP has a majority share ownership portion of 75.10 percent while the remaining 24.90 percent is owned by PT Wijaya Karya (Persero) Tbk (WIKA).

The Toll Road project, which is overseen by the BUJT PT PP Semarang Demak (PPSD), is located north of the Semarang - Demak National Road which will support transportation on the Pantura route, Central Java Province.

Semarang-Demak Toll Road Section 2 has a track of 16.01 kilometers starting from Sayung KM 449 to KM 465. The toll road, which has an investment value of IDR 5.9 trillion, has a return scheme in the form of tariffs and a concession period of 50 years.

Investment in toll roads is very promising where it has an Internal Rate of Return (IRR) value of 11.56 percent. The value of the IRR is greatly influenced by the average daily traffic projection figure (LHR) of 16,934 vehicles per day in 2023.

The Semarang Demak Toll Road Section 2 of the Sayung - Demak Section has an initial toll rate for Class I vehicles of IDR 1,195 per kilometer or IDR 19,000 which will take effect on February 27, 2023.

The Semarang - Demak Toll Road is one of the National Strategic Projects (PSN) initiated and launched by the Government to overcome various transportation problems in the area, such as the frequent submergence of the Pantura National Road (Kaligawe - Sayung) due to tidal flooding, traffic jams on Jalan Nasional Pantura, especially Kaligawe and Terboyo, as well as economic losses due to disruption of logistics activities in Industrial Estates.

With the presence of the toll road, it can cut the travel time from Semarang to Demak to 820 minutes from the previous 45 minutes to 1.5 hours. With the construction of toll roads that are integrated with sea embankments, it is hoped that it can minimize tidal flooding that often hit the coastal areas of Semarang and Demak.

In addition, the presence of the toll road is expected to increase the potential for regional development along the planned corridor and increase connectivity in the surrounding industrial area.

The construction of the Semarang Demak Toll Road Section 2 of the Sayung - Demak Section applies various innovations and construction technologies at the forefront of its construction implementation. The new innovations and technologies used include casting rigid pavement with slipform paver, use of bamboo for embankment trial embankments, PVD with a depth of 42 meters which is the first in Indonesia in the trial embankment.

"As a state-owned company engaged in construction and investment, PTPP also participates and is active in investment business participation in the supply of toll road infrastructure, one of which is the Semarang Demak Toll Road which is part of the Trans Java Toll Road. This is a direct support and contribution from PTPP to the country to help improve inter-regional connectivity through land transportation. The investment business of the Trans Java Toll Road is predicted to be quite attractive and promising for the company. In addition, the presence of this toll road also contributes and has a direct impact in overcoming the problem of tidal flooding experienced by the people of Semarang-Demak and its surroundings," said PTPP President Director Novel Arsyad.