Deputy Minister Of SOEs Calls The Jakarta-Bandung High Speed Train Can Only Return To Capital In The Next 40 Years

Deputy Minister of State-Owned Enterprises (BUMN) Kartika Wirjoatmodjo. (Mery Handayani/VOI)

Deputy Minister of State-Owned Enterprises (BUMN) Kartika Wirjoatmodjo said that the investment in the Jakarta-Bandung High Speed Train (KCJB) could only return on investment within the next 40 years.

Tiko, Kartika's nickname, said that this high-speed train is indeed a long-term transportation development.

"If the basic infrastructure project like this, the capital will be 30 to 40 years. And this is a basic infrastructure that needs to be built for the long term which changes the pattern of Indonesia's transportation civilization," Tiko told the media crew at the Sarinah Building, Jakarta, Tuesday, October 3.

According to Tiko, there is no transportation infrastructure project like this high-speed train that has a short-term orientation.

At least, he continued, the term is 20 years.

"There is no transportation project like this, which has an orientation of 10 years. It must be at least 20 years in the future," he explained.

For your information, the cost of building a high-speed rail project has increased by 1.2 billion US dollars or Rp. 18.2 trillion from the total initial estimated cost.

This cost swelling will be borne by the Indonesian consortium and the Chinese consortium. Where, in this cost overrun payment scheme, PT Kereta Cepat Indonesia China (KCIC) will make a loan to the China Development Bank (CDB).

Meanwhile, the rest will be loaned funds by PT Kereta Api Indonesia (Persero) to KCIC.

The funds provided were obtained by KAI through the State Equity Participation (PMN) obtained by this state-owned company.

"The cost overrun of 1.2 billion US dollars is final. The interest range is 3.6 to 3.7 percent, this is another negotiation. This week it should come out," he said.