Tue, 10 Dec 1996

Subway project waits for presidential decree

JAKARTA (JP): Deputy Governor for Economic and Development Affairs TB. M. Rais said yesterday the presidential decree for the Mass Rapid Transit (MRT) project had not yet been issued.

He said the presidential decree would be the project's operational guide. MRT is a planned subway from Blok M in South Jakarta to Kota in West Jakarta.

"The mega project has gained political support. The US$1.5 billion project cannot begin without the presidential decree," Rais said after awarding trophies to several city administration offices, courts and military offices for their achievements in cleanliness.

"I hope the presidential decree will be issued soon. The sooner the better for such a project," he said.

He said he did not know why the decree had not yet been issued.

The city administration planned to start the project in January. Rais did not say if the start would be delayed.

Rais said the project management unit, in cooperation with the National Development Planning Board and the Jakarta administration, had finished most of the project details including the basic design.

The project's steering committee, chaired by Minister of Research and Technology B.J. Habibie, would meet one more time to complete other details, he said.

In February, President Soeharto instructed Minister of Transportation Haryanto Dhanutirto to build the subway and an elevated railway system to help ease Jakarta's traffic congestion.

The elevated railway will be a part of three-level transportation system which will be built by PT Citra Lamtoro Gung Persada, owned by Siti Hardiyanti Rukmana, the President's eldest daughter.

The decision to build both ended a lengthy controversy on whether an underground or elevated system should serve Jakarta's nine million people.

The subway contract will be tendered, while the elevated railway contract will go to Citra Lamtoro Gung Persada. The company will finance the three-level transportation system: an elevated railway, toll road and arterial road.

Several consortia from France, Canada, Japan, the United States, Germany and Australia are reportedly interested in tendering for the subway contract.

The three-level transportation system will link Cinere and Kebayoran Lama, both in South Jakarta. The elevated railway service will be operated by the state railway company Perumka in a joint scheme in which the president will be from Perumka and the financial director from PT Citra Lamtoro Gung. (ste)