Legal Justice in Government and Private Sector Partnership Projects: A Justice Approach Based on Pancasila and Rawls

Abstract

Infrastructure development is a fundamental pillar of economic growth and public welfare enhancement in Indonesia, where government budget limitations necessitate innovative financing strategies. Public-Private Partnerships (PPP), particularly the Build Operate Transfer (BOT) scheme, have become increasingly prominent in delivering strategic infrastructure projects such as toll roads, ports, airports, and energy facilities. While BOT arrangements offer efficiency and financial benefits, they also present significant challenges regarding legal justice and the protection of public interests. This study analyzes BOT agreements through the lens of justice based on Pancasila values and John Rawls’ theory of justice. Using a normative juridical approach, the research explores how Pancasila—especially its second and fifth principles emphasizing social justice and humanity—and Rawls’ principles of “justice as fairness” can guide the formulation and implementation of BOT contracts. The findings highlight that legal justice in BOT projects must go beyond technical and legal compliance, incorporating philosophical and sociological dimensions to ensure equitable benefit distribution, protection of affected communities, and transparency in contract processes. The study underscores the importance of procedural, substantive, and distributive justice in contract design and execution, advocating for affirmative policies that address power imbalances and safeguard the rights of disadvantaged groups. By grounding BOT agreements in both Pancasila and Rawlsian justice, infrastructure partnerships can become strategic instruments for achieving inclusive, fair, and sustainable national development, aligning with Indonesia’s constitutional mandate and societal aspirations.