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After going through the New Order regime, Indonesia has repeated the time of massive and significant infrastructure and economic development. This era is marked by various projects such as roads, railways, airports, energy, and economic infrastructure in remote areas of Indonesia. At this point, the friction between the development projects with the locals is inevitable positively and negatively. A certain groups that are negatively impacted by a development project are known as project-affected people. This paper will argue that the project affected people as a new marginal identity through the process of a new developmentalism era in Indonesia. The construction of a new identity occurs through the narration, regulation, and direct interaction of operational project activity. Project-affected people in Indonesia are currently understood as people who have lost their source of livelihood, lost income, lost land and asset, lost their ancestral lands, and their life rites practices. They are people who are directly and indirectly marginalized by development. The impact of the loss of these sources of livelihood is the emergence of new vulnerabilities such as the loss of attachment between the community and their ancestral land and cultural heritage, the threat of local community values, and changes in the way of life of the community. This can be seen from the cases of indigenous peoples affected by development projects. They are a community that has occupied their ancestral lands for a long time. However, after a development project surrounding their homeland, their lives are in danger of being lost or displaced. Although according to regulations, the affected communities of this project will receive compensation as a result of resettlement, but these threats are the main problem in new development at this time.