Jakarta-Bandung High-speed Train, KAI Boss: Indonesia-China Communication Is Not Smooth, Sri Mulyani, Luhut, Erick Thohir, Budi Karya Must Step In

JAKARTA - President Director of PT KAI Didiek Hartantyo admitted that communication between Indonesia and China in the Jakarta-Bandung High Speed Rail (KCJB) project was not smooth. The reason is that the lead of the project is a construction State-Owned Enterprise (BUMN).

"So far, communication between Indonesia and China has not been smooth. Now Mr. Chairman can imagine that the lead of this project is Wijaya Karya, what company? Construction. What is being built now? A train. My person is a railroad person, this was taken construction. The language is not connected," he said during a hearing with Commission VI, Wednesday, September 1.

Not only that, Didiek also warned of the potential for the Indonesia-China Fast Train (KCIC) to burden the state's finances. The warning comes from an independent consultant review.

"What will happen to the pattern of operation of the Jakarta-Bandung high-speed train if it is left like this? Earlier, you were worried that it would burden the state's finances, that's exactly what will happen," he said.

As is known, the project funding structure was previously worth 6.07 billion US dollars, but now the project is estimated to require funding of around 8 billion US dollars. Therefore, said Didiek, his party needed government assistance. Because, it is impossible for the KCJB project to be left stalled. Moreover, this project involves two countries, namely Indonesia and China.

"Why do we need huge government support? Because this project is a project between two countries that we must take care of. So that the train that is currently being assigned, we will complete it with the government and support from four ministers," he explained.

The ministers in question are SOE Minister Erick Thohir, Transportation Minister Budi Karya Sumadi, Coordinating Minister for Maritime Affairs Luhut Binsar Pandjaitan and Finance Minister Sri Mulyani.

KCIC itself has submitted a postponement of the authorized capital deposit of Rp. 4.3 trillion to the China Development Bank (CDB). However, until now, there has been no response from the High Speed Railway Contractors Consortium (HSRCC) either for delays in deposits or requests for project credit restructuring.

"The four ministers ordered this correction, this restructuring must be end-to-end. We solve all problems, we reveal everything for the good of this country. I agree, Mr. Leader, our meeting is closed, we will review everything so that the improvement is thorough, what are the consequences? We will share what this country will bear, not only on the trains," he explained.