The Bali Provincial Government is being sued by investors of the Nusa Penida Glass Elevator Project after officials ordered the demolition of the controversial development.
- Investors are suing for losses following a November 2025 demolition order.
- The project was halted due to multiple permit, licensing, and construction violations.
- Demolition is currently suspended pending the outcome of a second lawsuit.
Legal Challenges and Procedural Errors
The PT Indonesia Kaishi Tourism Property Investment Development Group is pursuing damages resulting from the provincial government’s order to dismantle the project. This marks the second lawsuit filed by the investors.
The State Administrative Court (PTUN) previously dismissed the first lawsuit because it did not meet legal requirements. Specifically, the power of attorney was not signed by an authorized director, rendering it administratively flawed.
Ngurah Satria Wardana, Head of the Legal Bureau of the Bali Provincial Secretariat, stated that the government is prepared to follow due process. He noted that the courts are expected to summon all involved parties within the coming week.
Project Violations and Demolition Orders
In November 2025, the Bali Provincial Government issued formal demolition orders to the development group. This action followed an investigation that uncovered a series of major building violations regarding permits and licensing.
The developers were given six months to deconstruct the existing work and an additional three months to restore the Kelingking Beach cliff and surrounding landscape to its original condition.
The ambitious project featured a 182-meter-high glass elevator designed to provide access to the cliffside, alongside integrated viewing platforms and restaurants.
Current Status of Construction
All demolition work has been halted while the lawsuit is active. Deconstruction will only resume if the Bali Provincial Government wins the case.
Wardana confirmed that all orders from the Public Order Agency (Satpol PP) requiring demolition and cliff reconditioning are temporarily suspended. He expressed optimism that the government will prevail in court.
Prior to the legal stay, the Satpol PP had issued two final warning notices to the development group in February 2026, as demolition had not progressed as ordered. It remains undecided if the project will be fully demolished or if the investors will resolve the legal issues to resume construction.
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