Bali Province and Badung Regency Sign Agreement with KAI for Kuta-Canggu Tram Line
On September 1, 2026, the Bali Provincial Government, Badung Regency, and Indonesian Railway Company (KAI) signed a memorandum of understanding to develop a tram line connecting Ngurah Rai Airport, Kuta, Legian, and Canggu. The project aims to reduce traffic congestion in southern Bali and is planned for phased opening in 2028 and 2031.
On September 1, 2026, at the Governor's Residence in Bali (Kertha Sabha Room), Bali Governor Wayan Koster, Badung Regent Wayan Adi Arnawa, and PT Kereta Api Indonesia (KAI) Director Bobby Rasyidin signed a Memorandum of Understanding for a railway development plan in Badung Regency.
The centerpiece of the agreement is a mass-transit tram connecting Ngurah Rai International Airport to Kuta, Legian, and Canggu. The 13.1-kilometer line is part of the Bali Low Emission Zone Initiative (BLEZI), designed to address chronic traffic congestion in southern Bali.
The project will be built in two phases: Phase 1A (Airport-Legian, 6.6 km) targets commercial operation by Q4 2028, while Phase 1B (Legian-Seminyak-Canggu, 6.5 km) is planned for Q1 2031. The airport section will be elevated, with most of the remaining route running at ground level. The tram will be battery-powered to preserve the visual character of the coastal area. Estimated travel times are approximately 23 minutes between Legian and the airport, and about 40 minutes between Canggu and the airport.
Regent Adi Arnawa described the MOU as a crucial first step, with a formal cooperation agreement and feasibility study to follow. Beyond the Kuta-Canggu corridor, he also expressed intent to improve connectivity from Nusa Dua to Uluwatu, the airport, and Kuta.
Governor Koster emphasized that traffic congestion needs urgent attention as it could affect the sustainability of Bali's tourism ecosystem, while stressing that the tram's development must respect Bali's local character, aesthetics, resident comfort, and local wisdom. He called for extensive public communication, particularly with hotel owners along the planned route.
Implementation will require local government support for land acquisition, depot site provision, coastal reinforcement, airport access routes, and permitting, along with technical guidance from the Directorate General of Railways at the Ministry of Transportation.
Things to Consider
This tram line is not expected to open before 2028, so there is no immediate impact on travel for tourists or residents. Over the coming years, construction and land acquisition along the Kuta-Canggu corridor may lead to temporary road closures or detours, so those planning long-term stays in the area should periodically check local media and Badung Regency announcements. Current transportation options such as ride-hailing apps and motorbike taxis remain unaffected for now.