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Jakarta Post

Govt owes SOEs Rp 5.6t for land acquisition

  • Mardika Parama

    Jakarta

Jakarta   /   Sat, July 4 2020   /  01:00 am
Pay here: The Marelan tollgate in North Sumatra is almost ready to serve travelers. The Helvetia-Marelan subsection is part of the Medan-Binjai section of the trans-Sumatra toll road.(The Jakarta Post/Primastuti Handayani)

Three state-owned construction companies, PT Waskita Karya, PT Hutama Karya and PT Wijaya Karya, are seeking repayments from the government for Rp 5.6 trillion (US$390.9 million) in accumulated land acquisition expenses for infrastructure projects. Waskita Karya president director Destiawan Soewardjono said on Wednesday that the government still owed the company Rp 3.71 trillion for land acquired for its ongoing toll road projects, including the Pemalang-Batang toll road in Central Java, the Bekasi-Cawang-Kampung Melayu told road in Greater Jakarta and the Cimanggis-Cibitung toll road in West Java. A combination of mounting unpaid expenses by the government and the company’s dwindling income due to the COVID-19 pandemic has caused cash flow issues for the company, according to Destiawan. “Our cash situation is currently in the red. However, we’re increasin...