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The Govt needs IDR2 trillion for finishing airport railway

JAKARTA: The government needs to spend about IDR2 trillion to realize the construction of some railway for commuter route from Tanah Tinggi to Soekarno-Hatta as long as 7 km.Secretary of Directorate General of Railway at Ministry of Transport Nugroho

JAKARTA: The government needs to spend about IDR2 trillion to realize the construction of some railway for commuter route from Tanah Tinggi to Soekarno-Hatta as long as 7 km.Secretary of Directorate General of Railway at Ministry of Transport Nugroho Indrio said the government would synergize with a number of SOEs in order to complete a 20 km commuter railway from Manggarai to Soekarno-Hatta."We are targeting the construction of double track from Tangerang to Airport can be completed in two years," he told Bisnis, yesterday.According to Nugroho, so far the government is also focusing on the land acquisition and land procurement for a 25 km airport railway express land acquisition in Angke-Soekarno-Hatta along will cost IDR1.5 trillion."The investment of IDR1.5 trillion would be taken from state budget which will be paid gradually in every year. This year, it has been budgeted for IDR450 billion. Meanwhile, in 2012 and 2013 it will be IDR525 billion respectively ," he explained.Moreover, as he added, railway construction plan of airport railway express from Angke-Soekarno- Hatta Airport is run by the Government with public private partnership. The project will be worked by the investor from 2012 and it is targeted for completion in 2014."This year, it is still in the stage of the auction and financial closing. We have not yet known the details of the costs. However, we target the investor can complete the facility in 2014," he said.Nugroho said that the government in 2012 will work on the construction of Manggarai-Tanah Abang-Angke railway as long as 11 km. The project needs IDR1.7 trillion, which is obtained from State Budget.The project will get financial support from State Budget of IDR680 billion in 2012 and IDR1.02 trillion in 2013, he said.The role of financial institutionPresident Director of PT Kereta Api Indonesia Ignasius Jonan said that the state-owned company will find fund sources from financial institution as long as the projects are profitable to support the Airport Railway project.PT Kereta Api plans to seek funds of IDR2 trillion with 10-year-tenor, he said, last week.According to Ignasius, the fund as much as IDR2 trillion is needed to finish some part of the airport railway for commuter train.Head of Public Communication Center at Ministry of Transportation Bambang S. Ervan said the fund will be obtained from the synergy of several State-Owned Companies, such as PT Angkasa Pura II, PT Jasa Marga and PT Kereta Api Indonesia.Besides, the government also needs private sectors role to provide infrastructures and facilities as part of Public Private Partnership. (25)(t03/msw)

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