PT Bank China Construction Bank Indonesia contributes IDR 1.109 trillion to IDR 8.874 trillion syndicated loan for Phase 1 of Jakarta Upstream and Downstream Drinking Water Supply Systems Project

Project narrative

In February 2023, PT Air Bersih Jakarta — a special purpose vehicle and subsidiary of PT Moya Indonesia, a wholly-owned subsidiary of Singapore-based Moya Holdings Asia Limited— entered into an IDR 8,874,000,000,000 syndicated credit agreement with PT Bank Central Asia Tbk, PT Bank OCBC NISP Tbk, PT Bank Tabungan Negara (Persero) Tbk, PT Bank BTPN Tbk, PT Sarana Multi Infrastruktur (Persero), PT Bank KB Bukopin Tbk, and PT Bank China Construction Bank Indonesia Tbk for Phase 1 of the Jakarta Upstream and Downstream Drinking Water Supply Systems Project. PT Bank China Construction Bank Indonesia Tbk reportedly contributed IDR 1,109,249,880,000 to the syndicated credit agreement. The syndication agreement was arranged by PT Bank Central Asia Tbk, Oversea-Chinese Banking Corporation Limited, and PT Bank OCBC NISP Tbk. The borrowing terms of the loan are unknown. The project involves developing greenfield assets and optimizing existing assets in Jakarta to achieve 100% of drinking water service by 2030, of which current service coverage is at 65%. The project consists of 2 phases: an upstream phase and a downstream phase. Phase 1 includes: (a) Jatiluhur I regional water supply system (SPAM) – 4,000 litres per second (lps); (b) Karian-Serpong regional water supply system (SPAM) – 3,200 lps; and (c) Jatiluhur 2 / Ir. H. Djuanda regional water supply system (SPAM) – 2,054 lps. The project as a whole has three components. The first component involves rehabilitation, operation and maintenance for the existing water treatment plants Buaran I, Buaran II, Pulogadung, Pejompongan I, and Pejompongan II under the Rehab-Operate-Transfer scheme. The second component involves installation of pipe distribution network and new customer connections to supply the drinking water from SPAM Jatiluhur-1, SPAM Karian Serpong, and Buaran-3 WTP. The third component involves construction, operation and maintenance of a new water treatment plant in Buaran with 3,000 lps capacity. The project commenced in January 2022. In August 2023, the Jatiluhur I SPAM project had reached 47.47% completion, and was expected to be completed in 2024.