Mediation In The Resolution Of Construction Disputes In The 500 Kv Sumatra Transmission Project

Abstrak

Infrastructure construction projects frequently experience disputes between various involved parties, including project owners, contractors, and third parties. The 500 kV Sumatra transmission construction project serves as a relevant example, where delays in completion, route changes, and contractual issues related to the return of equity funds and interest payments (Interest During Construction/IDC and Interest During Payment/IDP) sparked disputes between PT PLN (Persero) and the contractor. Mediation was chosen as an alternative dispute resolution (ADR) method to avoid lengthy and costly litigation processes. This article examines the effectiveness of the mediation facilitated by the State Attorney General's team, which resulted in significant agreements, including the return of 80% equity to the contractor before the issuance of the Taking Over Certificate (TOC) and the resolution of the remaining 20% afterward. The effectiveness of mediation was influenced by various factors such as voluntary participation of the parties, mediator competence, communication quality, and openness of information. However, several challenges were identified, including the imbalance of power between the parties and the risk of mediation being used as a delaying tactic. This research provides an in-depth understanding of the role of mediation in resolving construction disputes in Indonesia, particularly for large-scale projects. The findings show that mediation is an effective method for maintaining project continuity while preserving good business relationships between the parties involved.