Funding support from the Netherlands: Giant sea wall on a priority list
This article has been translated by PwC Indonesia as part of our Indonesia Infrastructure News Service. PwC Indonesia has not checked the accuracy of, and accepts no responsibility for the content.
Bisnis Indonesia - Dukungan pendanaan Belanda: Giant sea wall masuk prioritas
14 April 2025
Bisnis, Jakarta – The Ministry of Public Works has prioritised the giant sea wall construction programme along the northern coast of Java Island in its water resources programme.
Minister of Public Works, Dody Hanggodo, stated that this commitment was made after the Dutch government supported funding for infrastructure, particularly in the water resources sector, including the giant sea wall (GSW) in northern Java.
"The giant sea wall is one of President Prabowo's priorities to protect the northern coast of Java from tidal flooding, erosion and land subsidence. The Coordinating Ministry for Infrastructure and Regional Development will act as the leading coordinator and has been tasked by the President to form an authority related to the giant sea wall," he said on Saturday (12/4).
The GSW project in northern Java is part of the water resources programme, which includes irrigation, potable water, flood control and coastal protection.
Director General of Water Resources at the Ministry of Public Works, Lilik Retno Cahyadiningsih, revealed the plan for the GSW, which is intended to stretch along the northern coast of Java.
She explained that the construction of the giant sea wall would be carried out in stages and prioritised at four initial points.
"The discussions concluded that it will not be built directly from Jakarta to Gresik. Instead, it will start from Jakarta, then Cirebon, and so on, city by city," she explained.
The four priority points for the giant sea wall construction are Jakarta, Cirebon in West Java, Demak in Central Java, and Gresik in East Java.
When asked about the projected budget needed, Lilik stated that it could not yet be detailed. This is because further discussions are needed with the implementing body for the giant sea wall construction. "That is why the institution must be solid, as it involves several projects, stakeholders and funding," she emphasised.
Deputy Minister of Public Works, Diana Kusumastuti, has explained that the Government will form a new authority to orchestrate the GSW construction.
This new authority will be directly under the Coordinating Ministry for Infrastructure and Regional Development.
"The giant sea wall is essentially a massive sea barrier. The President has tasked the Coordinating Minister for Infrastructure [and Regional Development] to form a dedicated authority," said Diana.
The new authority for the giant sea wall construction will bridge the various ministries involved in the GSW project.
Coordinating Minister for Infrastructure and Regional Development, Agus Harimurti Yudhoyono, has stated that the formation of the authority for the giant sea wall is still under discussion.
According to him, the Government is seeking the best format to manage the project's construction.
He also stated that the giant sea wall is a major project involving many stakeholders, both at the central and regional government levels.
Dutch commitment
Meanwhile, the Dutch government has committed to supporting the funding for Indonesia's priority programmes, including the realisation of the giant sea wall construction.
Dutch Ambassador to Indonesia, Timor-Leste, and ASEAN, Marc Gerritsen, explained that the funding would be provided through the funding agency Invest International, amounting to 300 million euros or approximately Rp5.72 trillion (assuming an exchange rate of 1 euro equals Rp19,080).
"Invest International, in cooperation with the Indonesian Ministry of Finance, has prepared a funding package worth €300 million in the form of grants and soft loans to support strategic projects in the water sector, renewable energy and waste management," Gerritsen said in a written statement to Bisnis on Saturday (12/4).
He emphasised that the funding for priority initiatives includes coastal protection in Demak, Central Java, and Cirebon, West Java, as part of the giant sea wall initiative, the construction of peat water treatment plants into drinking water in Riau and South Kalimantan, and waste-to-energy projects at Legok Nangka Landfill in West Java.
At the same time, Gerritsen emphasised that since 2008, the Dutch government has been involved in the initial planning and technical studies of the northern Java coastal protection project through the National Capital Integrated Coastal Development (NCICD) programme.
He also confirmed the Dutch government's commitment to supporting sustainable implementation through an integrated approach that includes nature-based solutions, social protection and cross-ministerial coordination.
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