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Bali shifts towards a US$110m airport tram after underground rail setbacks
Indonesia is pursuing a smaller electric transport system after its underground railway proposal struggled to secure investors, raising new questions about urban integration
Indonesia’s state railway operator, PT Kereta Api Indonesia (KAI), has outlined a budget of approximately Rp2 trillion (US$110 million) for an electric tram connecting Bali’s international airport with Legian and Canggu. Announced following a meeting with President Prabowo Subianto on 5 November, the proposal represents a substantial change in approach following difficulties financing an earlier underground railway scheme.
KAI president director Bobby Rasyidin described a two-phase development, beginning with a connection between I Gusti Ngurah Rai International Airport and Legian, followed by an extension towards Canggu. The proposed system follows a September cooperation agreement between KAI, Bali’s provincial government and Badung Regency to explore battery-powered electric trams. The corridor is intended to address congestion in one of Indonesia’s busiest tourism areas.
Bali’s move towards a compact electric tram illustrates how infrastructure ambitions can be reconsidered when financing and delivery conditions change.

Jalan Legian in Kuta, Bali, photographed in 2012. The image documents the existing commercial streetscape in one of the areas identified for the proposed electric tram connection. | Source: Hariadhi / Wikimedia Commons, CC BY-SA 3.0
The earlier underground railway encountered substantial difficulties securing investment despite a ceremonial groundbreaking in September 2024. In August 2026, Bali’s governor indicated a preference for a less expensive surface transport alternative. The latest proposal would use relatively narrow electric vehicles without overhead power cables, although technical studies and route decisions remain outstanding.
The proposed corridor extends approximately 12 kilometres. Initial planning envisages a journey of around 30 minutes, services at ten-minute intervals and capacity for up to 60,000 passengers daily. These figures remain planning assumptions rather than confirmed operational commitments. Authorities have previously identified March 2027 as a target for beginning construction, with phased operations envisaged from 2028.
The shift in transport strategy has architectural implications beyond the choice of vehicle. A tram operating through established tourism districts requires consideration of pedestrian movement, passenger facilities, intersections, surrounding businesses and the relationship between transport infrastructure and existing neighbourhoods. Bali’s authorities have also committed to consulting traditional villages and considering environmental and cultural conditions.
The next design challenge lies in how the transport system meets the street, rather than simply how efficiently it moves passengers between destinations.
For architects, urban designers and transport consultants, the proposed tram illustrates how revisions to major infrastructure programmes can create different professional opportunities. Further feasibility work, alignment decisions and approvals will determine the scope of those opportunities. Bali’s experience is particularly relevant to destinations seeking to improve mobility without committing to the cost and complexity of underground construction.
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