Matahari and Bukaka eye Jakarta's MRT project
Matahari and Bukaka eye Jakarta's MRT project
Damar Harsanto and Bambang Nurbianto, The Jakarta Post, Jakarta
The Matahari and Bukaka Groups have expressed interest in taking
up the US$60 million equity PT Jakarta Monorail requested from
the city administration to finance the $650 million mass rapid
transit (MRT) system.
Governor Sutiyoso said on Monday that several businessmen,
including Robby Sumampouw of the Matahari Group, were seriously
studying the project.
"They are still studying the profitability of the project and
the equity-sharing scheme proposed by the consortium recently,"
Sutiyoso said.
Earlier, the governor also said that Lippo Group was
interested in the project, but Lippo denied the news just days
later.
PT Jakarta Monorail's (JM) operational director Sukmawaty
Sjukur, meanwhile, said on Monday that her company had met
representatives of Vice President Jusuf Kalla's PT Bukaka Teknik
Utama, which has also expressed interest in producing cars for
the MRT.
According to her, Bukaka would cooperate with state-owned
train maker PT INKA.
"They said they would soon make an official offer to Jakarta
Monorail. We welcome any party interested to cooperate with us,
including domestic investors," he told The Jakarta Post on
Monday.
Desperate to secure loans needed to finance the project, JM --
which Sutiyoso directly appointed to build and operate the
country's first MRT system for at least the first 30 years -- had
asked the city administration to inject $60 million as equity
into the project.
Although the proposal was widely criticized, Sutiyoso has
expressed readiness to invest in the endeavor.
The administration is also considering approving JM's proposal
to use cheaper technology, rather than Japanese Hitachi
technology.
"I will depart for South Korea and the People's Republic of
China early next month to see their MRT technology and make a
comparison between cheaper technologies and Hitachi's," he said.
According to him, the administration will make a final
decision on the technology adopted next month.
He acknowledged that uncertainties had slowed the project's
progress, making it likely that the target for operation, which
had been set for the end of 2006, would not likely be met.
"JM has promised to make up the time lost due to the financing
problem. But, I think it will miss the target. Hopefully, the MRT
will be operational by early 2007 at the latest," he added.
JM, which is owned by PT Indonesia Transit Central (ITC) and
Omnico Singapore, Pte. Ltd, has also asked for an annual tariff
subsidy of up to $20 million for up to eight years to keep the
MRT fare at an "affordable" Rp 5,000.
JM has also asked the administration to impose a policy
whereby fees would be charged for traveling on roads parallel to
the MRT's corridors to boost MRT passengers, who would presumably
be discouraged from driving.