MRT system gets presidential nod

Fabiola Desy Unidjaja, The Jakarta Post, Jakarta

President Susilo Bambang Yudhoyono has voiced support for the proposed construction of an integrated mass rapid transportation (MRT) system in the capital.

After a 30-minute presentation by Governor Sutiyoso on Monday, the President said Jakarta required an integrated mass transportation system.

"The MRT project will be introduced during an infrastructure summit in Jakarta on Dec. 17. Both the central government and the city administration are committed to this project," Minister of Transportation Hatta Radjasa said after the meeting.

He said the President had approved the transportation blueprint outlining the development of an MRT, monorail and busway to connect all corners of the city.

The MRT project was first approved in 1974 but has been repeatedly postponed due to financial constraints.

The government said the massive project would require an investment of about US$780 million and that it was looking to the Japan Bank for International Cooperation (JBIC) as a possible source of financing.

"The administration must find financing to cover the operational costs of the MRT. My office will redraw policies to allow the private sector to join the project," Hatta said.

Sutiyoso said the integrated transportation system in Jakarta would includes the MRT, two monorail lines and 14 busway corridors.

The governor also asked the President to provide empty land belonging to state-owned companies on which the administration could construct low-cost apartments.

"We can subsidize the construction, but we need vacant land to provide affordable housing for people," Sutiyoso said, adding that construction of the East Flood Canal was also discussed with the President.