KCIC Managing Director Affirms Restructuring Handed Over To Danantara

JAKARTA - President Director of PT Kereta Cepat Indonesia China (KCIC) as the manager of the Jakarta Bandung (WHesh) High Speed Train Dwiyana Slamet Riyadi visited the Office of the Coordinating Ministry for Economic Affairs, on Monday, November 17.

He explained that he came to have regular discussions with the Coordinating Ministry for the Economy. "I just had regular discussions," he told the media crew.

Dwiyana emphasized that the restructuring of the Jakarta Fast Train project was entirely handed over to the Danantara.

"Anyway, for the restructuring, we will submit it to the Danantara. KCIC is under the Danantara. So whatever the mechanism, the scheme, we will submit it to the Danantara," he explained.

He also said that there was no specific direction that could be conveyed, because the entire process is now carried out with a one-door system under the Danantara.

"Anyway, we follow it, let one door through the Danantara," he said.

When asked about KCIC's communication with Danantara, Dwiyana reiterated that all coordination would run through the institution.

Previously, the Danantara Investment Management Agency (BPI) opened up opportunities for the distribution of a public service obligation (PSO) scheme for the Jakarta-Bandung high-speed train or bettersh to focus on financing the project infrastructure.

Managing Director of Stakeholder Management and Communications Danantara, Rohan Hafas, said the government had stated it was committed to being present in the settlement of financing for theASH project.

However, details regarding the portion and support mechanism have not been decided.

"Mr. President has already said that it is the state. The point is that, but the details are not discussed. The state has finances, there is Danantara. So wait for the time," he said at Wisma Danantara, Jakarta, Friday, November 14.

Even so, Rohan said that the PSO option that surfaced was most likely not targeting the operational aspects of the high-speed train.

According to him, the biggest burden lies in infrastructure that has cost massively since the development stage.

Furthermore, Rohan underlined globally, large infrastructure projects generally take a very long time to reach back in capital, which is between 30 and 50 years.

"(PSO) is more or less infrastructure, not the operation of the trains. Roughly speaking without rails, bridges, splitting the mountain, trustsh is positive," said Rohan.

Dari sisi operasional, Rohan bilang kinerja Whoosh sebenarnya menunjukkan tren positif. Tingkat okupansi terus meningkat, dan penjualan tiket kini sudah mampu menutup seluruh biaya operasional harian.

“Operasional sudah tertutup sama penjualan tiket. Jadi yang jadi masalah ini kan utang terhadap infrastrukturnya,” ucapnya.

In terms of operations, Rohan said thatcurrent performance actually shows a positive trend. The occupancy rate continues to increase, and ticket sales are now able to cover all daily operating costs.

Operational sales have been closed and ticket sales. So the problem is the debt to the infrastructure," he said.