Indonesia shifts toll road focus toward project completion

Under the administration of President Prabowo Subianto and Vice President Gibran Rakabuming Raka, Indonesia is shifting its infrastructure strategy toward completing existing toll road projects rather than aggressive new expansion. R. Sony Sulaksono Wibowo of the Toll Road Regulatory Agency (BPJT) noted that while the previous administration saw massive construction, the current priority is resolving issues with contracted projects that remain unfinished.

A major focus remains on Sumatra, where the toll network intended to connect Aceh to Bakauheni in Lampung is not yet fully integrated.

Despite the expansion of the toll network, experts warn that infrastructure alone may not reduce national logistics costs, which stood at 14.29% of GDP in 2022. High toll tariffs, such as those on the Cibitung–Cilincing Tollway (JTCC), can lead logistics operators to choose alternative routes or non-toll roads to save costs. To meet the government target of reducing logistics costs to 12.5% by 2029, efficiency must account for total trip expenses, including fuel, driver wages, and operational risks, rather than just physical road length.