I Gusti Agung Made Agung, a senior official of the resort island, said the memorial site will be a five-storey complex, including a restaurant, offices and monument on the top floor.
On October 12, 2002, the three terrorist bombings disturbed the peace of Kuta town on Bali Island - the Southeast Asia's top tourist attraction.
All the three attacks, carried out by the Southeast Asian terrorist group Jemaah Islamiyah, killed 202 people, including 88 Australians, 38 Indonesians and tourists from more than 20 other countries. The attacks also injured more than 200 people.
This was a shock to local residents and those familiar with the island, which is home to many Hindu followers, and is known as a peaceful and friendly paradise.