Arsari Group Supports Clean Water Supply for Balikpapan City

TIMESINDONESIA, JAKARTA – The availability of clean water in Balikpapan, East Kalimantan, has become a top priority as the city experiences rapid population growth and urban development. To address this critical need, Arsari Group, through its subsidiary PT Arsari Tirta Pradana (ATP), has officially entered into a strategic partnership with the Balikpapan City Government to ensure a sustainable clean water supply for the community.

This collaboration was formalized through the signing of a Memorandum of Understanding (MoU) between Balikpapan Mayor Rahmad Mas’ud and PT Arsari Tirta Pradana, under which ATP will supply clean water from the Arsari Dam. The agreement follows a request from the Balikpapan City Government, as stated in the letter from the Regional Water Utility (Perumda) Tirta Manuntung Balikpapan No. 245/1421002/10a-K/VII/2025-A dated July 24, 2025, regarding the city’s water demand projection.

Hashim S. Djojohadikusumo, President Director of Arsari Group, expressed the significance of bringing this long-awaited initiative to fruition.

"I feel quite emotional because this idea has been around for nine years, dating back to 2016. I firmly believe this step is taken for the welfare of the people, particularly regarding access to clean water. Clean water is a basic necessity that must be available to everyone," Hashim emphasized.

The MoU will be followed by a Cooperation Agreement (PKS) detailing the technical arrangements between the Balikpapan City Government and PT Arsari Tirta Pradana.

Hashim also highlighted Arsari Group’s long-term vision in the clean water sector.

"We believe that collaborations like this are a high-value social investment. Clean water is not just a basic need, but a foundation for health, productivity, and the sustainability of cities in the future," he stated.

Meanwhile, Balikpapan Mayor Rahmad Mas’ud welcomed this initiative as a tangible example of synergy between the government and the private sector.

"The demand for clean water in Balikpapan continues to rise in line with urban development and population growth. We expect this partnership with PT Arsari Tirta Pradana to provide a sustainable solution that ensures adequate access to clean water for our community," said Rahmad.

"We greatly appreciate Arsari Group’s support, as it aligns with the government’s efforts to improve the quality of life for Balikpapan residents," he added.

The MoU between Arsari Tirta Pradana and the Balikpapan City Government was signed on Friday, August 1, 2025, in Jakarta. The scope of the MoU includes identifying potential and assessing opportunities for cooperation in clean water provision in Balikpapan. In its implementation, the Balikpapan City Government and ATP will conduct performance evaluations through coordination meetings every six months and monitoring every three months. The agreement will be valid for five years from the date of signing, with the option for extension or termination upon mutual agreement. (*)