Jakarta-Bandung High Speed Rail Project Uses State Budget, Indonesian House of Representatives Asks KPK-BPK To Conduct Audit

Jakarta-Bandung high-speed train. (Photo: Doc. KCIC)

JAKARTA - The Jakarta-Bandung high-speed rail project has been highlighted by various groups, especially the Indonesian House of Representatives. This is because the budget that was originally borne by the private sector is now being financed by the state budget.

In response, Member of Indonesian House of Representatives Commission VI, Achmad Baidowi, assessed that the government needs to involve the Corruption Eradication Commission (KPK) and the Supreme Audit Agency (BPK) to conduct an audit of the implementation of the Jakarta-Bandung high-speed rail megaproject.

"KPK and BPK, so that there are no irregularities. Their use must be carried out in an accountable and transparent manner", Baidowi said, Monday, October 11.

However, according to the Secretary of the Indonesian House of Representatives PPP faction, the infrastructure project needs to be handled wisely, both by the government and the community to keep it running. Moreover, the COVID-19 pandemic has had an impact on development planning in Indonesia.

"The choice is whether development is stalled or continued and beneficial. So the presence of the state is important to ensure infrastructure development continues", Baidowi said.

It is known, President Joko Widodo (Jokowi) signed Presidential Regulation Number 93 of 2021 which is an amendment to Presidential Regulation Number 107 of 2015, concerning the Acceleration of Implementation of Infrastructure and Facilities for the Jakarta-Bandung high-speed train.

Several revisions are included in the latest regulation, one of which is the Jakarta-Bandung high-speed rail project that can now be funded by the state budget in Article 4 paragraph 2.

"Other funding as referred to in paragraph (1) letter c may be in the form of financing from the State Revenue and Expenditure Budget to maintain the sustainability of the implementation of National Strategic Projects by taking into account fiscal capacity and sustainability", the Beiled read.

Thanks to this, the State Budget is an option to be channeled as a source of financing channeled through PT Kereta Cepat Indonesia China (KCIC) which has a stake as a joint venture of several state-owned companies.