TEMPO.CO, Jakarta - The concession agreement between PT Kereta Cepat Indonesia Cina and Transportation Ministry has finally reached its conclusion. Having previously failed to sign the deal due to lack of agreement between the two parties, the company has get the green light to obtain the concession.
President Director of PT Kereta Cepat Indonesia Cina, Hanggoro Budi Wiryawan said that he has made a discussion with Transportation Ministry. One of the item agreed by the company is the 50-year concession period.
“The 50-year concession has been agreed,” Hanggoro said after a meeting at the premise of Transportation Ministry, Tuesday evening, March 15, 2016.
Hanggoro said that he will still have to report the results of the meeting with Transportation Ministry to the board of directors and commissioners. The meeting results will also be conveyed to Transportation Minister Ignasius Jonan by his subordinate. “We have to report [the results] first to the BoD. I hope that we will receive good news tommorow [today],” Hanggoro said.
When asked about the meeting results, Hanggoro declined to comment. He also declined to reveal contentious clauses. Hanggoro said that the agreement relates to the clarity of each party’s rights.
“It’s not like buying a motorcycle. Meaning that it needs clear proposal,” he said.
Hanggoro admitted that his company has studied the technology to overcome earthquake at railway routes susceptible to it. “We have met with BMKG [Meteorology, Climatology, and Geophysics Agency],” he said.
The concession agreement is one of the requirements of completeness of document for Transportation Minister to issue business permit for operator of public train infrastructure. The agreement had previously failed to be signed because the company had yet to agree on the 50-year concession proposed by Transportation Minister.
The signing of the concession of high-speed train operation between Transportation Ministry and the company is planned to be carried out today,Wednesday, March 16, 2016, at the office of Transportation Ministry. The signing will be witnessed by Transportation Minister Ignasius Jonan.
DEVI ERNIS
