Bali Government Sued Over Controversial Tourist Attraction Development 

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The Bali Provincial Government is being sued by the investors of the Nusa Penida Glass Elevator Project.

The highly controversial project was axed by the Bali Provincial Government in November 2025 after officials found a series of major building violations. Now, the investors are suing for losses. 

In November 2025, the Bali Provincial Government issued formal demolition orders to the PT Indonesia Kaishi Tourism Property Investment Development Group, which was behind the controversial Nusa Penida Glass Elevator Project at Kelingking Beach.

The project had been under construction for more than a year when an investigation by the Bali Provincial Government uncovered a series of permit, licensing, and construction violations. The company was given six months to deconstruct the work to date, and a further three months to restore the cliff and the surrounding landscape to its original condition. 

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The PT Indonesia Kaishi Tourism Property Investment Development Group is now suing the Bali Provincial Government for losses as a result of the demolition orders.

The Head of the Legal Bureau of the Bali Provincial Secretariat, Ngurah Satria Wardana, told reporters this week, “There’s a new lawsuit. They filed it after it was withdrawn because the legal standing of the first lawsuit was problematic in the dismissal process.”

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This is the second lawsuit filed by the investors after the State Administrative Court (PTUN) assessed that the first did not meet legal requirements. One of the biggest issues why the first had to be withdrawn was due to the validity of the power of attorney, which was not signed by an authorized director, so it was considered administratively flawed.

Wardhana told reporters, “In the process, we ensured that the object of the dispute was correct, in the form of a concrete decision letter. There, we checked and finally saw that there was a power of attorney from the plaintiff that was not signed by the authorized legal standing.”

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Wardhana confirmed that the Bali Provincial Government is ready and prepared to follow due process, and the courts are expected to summon all parties within the next week.

Wardhana noted that the government is optimistic about winning the car, though he noted that the regional government’s order to dismantle the glass elevator building has not yet been implemented.

All demolition work is now halted as the lawsuit has been filed, and deconstruction work would only resume if the Bali Provincial Government wins the case.

Wardhana explained, “If, for example, the provincial government loses or otherwise, whatever decision is made, it will be implemented. All letters from the Public Order Agency (Satpol PP) requiring the demolition and reconditioning of the cliffs will be temporarily suspended because the legal process is still ongoing in court.”

The PT Indonesia Kaishi Tourism Property Investment Development Group has already been issued with two final warning notices from the Satpol PP, as demolition work was not progressing as ordered. Speaking to reporters in February 2026 just as the second warning letter had been issued, the Head of the Satpol PP Dewa Nyoman Rai Dharmadi, explained that he had good faith that the demolition work would continue as ordered.

He shared, “The target remains to be demolished. We are waiting for their good intentions to be humane and take responsibility for the demolition voluntarily. If they don’t do so, then we will take the next step. We will ensure the demolition can be carried out.”

The project was one of the most ambitious and controversial that Bali had ever seen. The 182m high glass elevator was set to change the Kelingking Beach cliffside forever, with viewing platforms and restaurants built into the cliffside, along with the elevator itself.

It remains to be seen whether the project will be demolished or whether this lawsuit will open up the opportunity for PT Indonesia Kaishi Tourism Property Investment Development Group to get their papers in order and resume the project.