Risk Analysis of BOT Scheme on Post-construction Toll Road. (2015)

• Record Type: Journal Article
• Authors: Suseno, Yudi Harto; Wibowo, Muhammad Agung; Setiadji, Bagus Hario
• Is Part Of: Procedia engineering. Volume 125(2015)
• Page Start: 117
• Page End: 123
• Publication Date: 2015
• Subjects: toll road -- post-construction -- build operate transfer -- risk analysis; Engineering -- Congresses; Engineering -- Periodicals; Engineering; Conference proceedings; Periodicals; 620.005
• DOI: 10.1016/j.proeng.2015.11.018
• Languages: English
• ISSNs: 1877-7058

Abstract

Abstract: Construction of the first toll road in Indonesia, namely Jagorawi connecting Jakarta and Bogor, started in 1973 and operated in 1978. In further developments, since 1987, the government provides an opportunity for the private companies to manage toll-road through a public private partnership (PPP) with Build Operate Transfer (BOT) scheme. Using this scheme, the private sectors build, operate at their own expense and after the period of the concession, they should hand it back to the government. In the construction phase, all the risks that must be handled by the private sectors (either in the form of financial or technical one) generally have be planned and managed, but not the ones occurred during post-construction (operational) phase, where a lot of them are often unexpected or unpredictable. The purpose of this study was to analyze how the post-construction risk management applied to the toll road with Build Operate Transfer (BOT) scheme from the operator's point of view. In this study, the risk of post-construction of toll roads were mapped and evaluated. For this purpose, risk identification, risk levels and strategies in response to the risks that occur in the post-construction were performed. Two relatively new toll roads opened to the public, i.e. Semarang -Solo toll road section 1 and 2; and Kanci – Pejagan toll road, were selected as case studies. The process of data collection was done by means of questionnaires and interviews to the parties concerned. The method used for the analysis of risk management was Risk Breakdown Structure (RBS). Data were analyzed by ranking the risks and risk responses, and then the proposed risk management strategies were selected. The results of this study indicated that the highest risk that may occur in Semarang - Solo toll road section 1 was associated with less effective maintenance of damaged surface of the road so that it contributed on the increase of the overhead cost. On the other hand, the highest risk for Kanci – Pejagan toll road was the unexpected projected revenue in the business plan.