DPR Approves Rp4 Trillion Capital Injection for Jabodetabek LRT

TEMPO.CO, Jakarta - The House of Representatives (DPR) Commission VI that oversees state-owned enterprises has approved Rp4 trillion more state capital injection (PMN) for state-owned railway company PT Kereta Api Indonesia (KAI) to develop light rail transit (LRT) project covering Jakarta, Bogor, Depok and Bekasi.

The Commission VI chairman Teguh Juwarno said that the additional PMN has been provided to PT KAI following additional PMN in cash in the revised 2017 state budget (APBN P) of Rp2 trillion and PMN reallocation in the 2015 state budget of Rp2 trillion.

“Provided that PMN for PT KAI will not be used to pay off debts and PT KAI continues to prioritize railway construction in Sumatra,” Teguh said at a working meeting of the Commission VI and the government at the Parliamentary Complex in Jakarta on Wednesday.

Read: LRT Funding Scheme Not Ready

PT KAI has been tasked by the government with constructing Jakarta-Bogor-Depok-Bekasi (Jabodetabek) LRT project. The project will cost Rp27.5 trillion. In early February, state-owned construction company Adhi Karya signed the development project contract with the Transportation Ministry. The project payment agreement between PT KAI and the ministry will be signed this month or in August.

Finance Minister Sri Mulyani Indrawati explained that the LRT project is assigned by the government. “In accordance with the presidential regulation, the assignment is aimed at turning PT KAI into an investor or owner and also operator,” she said.

According to Sri Mulyani, the government will once again propose PMN for PT KAI in the 2018 state budget worth Rp3.6 trillion for Jabodetabek LRT project. As such, with additional PMN in the revised 2017 state budget and reallocation of PMN in the 2015 state budget totaling Rp 4 trillion, PT KAI has received Rp7.6 trillion funding.

ANGELINA ANJAR SAWITRI