Build-Operate-Transfer Agreements Under Indonesian Positive Law (A Case Study of the Mataram Mall Building)
DOI:
https://doi.org/10.59890/ijasse.v4i3.8Keywords:
Build-Operate-Transfer Agreement, Government Assets, Indonesian Contract LawAbstract
This study aims to examine the legal framework governing Build-Operate-Transfer (BOT) agreements under Indonesian positive law and to analyze the legal issues arising from the implementation of the BOT agreement between the Government of Mataram City and PT Pacifik Cilinaya Fantacy. The research adopts a normative-empirical legal approach by integrating statutory, conceptual, and sociological perspectives. The study utilizes both primary and secondary data sources, including legislation, legal doctrines, academic literature, and empirical findings obtained from relevant stakeholders. The findings indicate that the legal regulation of Build-Operate-Transfer agreements in Indonesia is generally based on the provisions of Book III of the Indonesian Civil Code concerning obligations and agreements, supplemented by sectoral regulations governing state and regional asset management. These regulations include Government Regulation No. 27 of 2014, Presidential Regulation No. 13 of 2010, and several regulations issued by the Ministry of Finance concerning the utilization and valuation of government assets. The implementation of BOT agreements involves several stages, including project identification, feasibility assessment, partner selection, construction, operation, and asset transfer. Although BOT agreements are fundamentally private contractual arrangements, their implementation also incorporates elements of public law because government institutions act as one of the contracting parties. The study concludes that BOT agreements serve as an effective legal instrument for infrastructure development in situations where government financial resources are limited.
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