Fast Train Will Continue To Surabaya, Where Does The Source Of Funds Come From?

High-speed train illustration (photo: dock. Antara)

JAKARTA - The government has plans to continue construction of the Fast Train to Surabaya. Currently, the new fast train connects the capital city of DKI Jakarta to Bandung.

So, where does the funding come from?

Minister of Transportation (Menhub) Budi Karya Sumadi said that the construction of the High-Speed ​​Train route extension project would use a creative financing scheme.

Furthermore, Budi said that there would be investors who would study this project. But unfortunately, Budi does not want to reveal who and which country the investors come from.

"With the limitations of the APBN, we will carry out creative financing. There will be investors who will connect to Surabaya. Later, we will be the ones who initiated the design engineering. "Then they were given a tender and became the winner," said Budi in the 2023 End of Year Press Conference, written at the Ministry of Transportation, Thursday, December 21.

Budi said that if the high-speed train was connected to Surabaya, the distance between Jakarta and the City of Heroes could be reached in just 2 hours. In fact, he believes this mode of transportation can compete with airplanes.

"You can imagine that the distance from Jakarta to Surabaya, which is 900 km, can be reached in approximately two hours. "It will be competitive compared to airplanes," he said.

Reflecting on the previous project, namely Jakarta-Bandung, which was successful, Budi admitted that he was optimistic that it would be much easier. Remember, the government already has experience.

“Jakarta-Bandung has been successful. A society with relatively sophisticated services and technology. "Regarding Surabaya, we will lay the foundations, it will be easier because we have experienced building Whoosh (Jakarta-Bandung route), so next time we can do it, God willing," he explained.

China will work on the Surabaya high-speed train project

Previously, the Ministry of State-Owned Enterprises (BUMN) confirmed that the extension of the Jakarta-Surabaya Fast Train project would be carried out by China.

Deputy Minister of State-Owned Enterprises (BUMN) Kartika Wirjoatmodjo revealed that China was appointed to work on this high-speed train project, following the recent signing of an agreement between China and Indonesia.

Tiko, his nickname, said that study collaboration would also be carried out between Indonesia and the China Railway International Group. This company was previously involved in the construction of the Jakarta-Bandung Fast Train.

"This is just starting to do a study, yesterday we came from China, we signed to do a joint study with China Railway," he said when met at the Office of the Coordinating Ministry for Maritime Affairs, Jakarta, Tuesday, October 31.

However, Tiko was reluctant to mention the investment value agreed between Indonesia and China for the extension of the Bandung-Surabaya Fast Train project.

"No, not yet (there is an agreement on the investment value and interest)," he said.