The Jakarta-Bandung High-speed Train Needs An Audit So That The Construction Costs Don't Swell

Pillars supporting the Jakarta-Bandung high-speed rail line. (Photo: Doc. KCIC)

JAKARTA - Transportation observer Djoko Setijowarno said that the Jakarta-Bandung High Speed Rail (KCJB) construction project requires a financial audit to minimize the ongoing cost overruns.

"The problem for this project is only in finance, namely waiting for State Capital Participation (PMN) and of course it needs an audit," Djoko said as quoted by Antara, Wednesday, November 10.

Djoko said that the cost overrun for railway infrastructure projects is a common occurrence.

According to him, the COVID-19 pandemic is an important factor in disrupting the cash flow of the companies that are members of the project consortium.

Therefore, Djoko suggested that stakeholders be more thorough in the study, especially in terms of finance.

"Starting from the HR used, it must be more efficient. If in the past all management was new, now PT Kereta Api's HR means saving on the HR side so that it can reduce swelling," he said.

As is known, the construction project for the Jakarta-Bandung Fast Train (KCJB) by PT Kereta Api Indonesia China (KCIC) experienced a cost overrun of approximately Rp. 27.09 trillion.

However, the government through the Minister of Finance (Menkeu) Sri Mulyani will inject funds of Rp. 4.3 trillion to PT Kereta Api Indonesia (KAI) for the Jakarta Bandung Fast Train (KCJB) project as a basic equity requirement.