Mon, 03 Feb 1997

Three-level transit system to start in June

JAKARTA (JP): Construction of Jakarta's three-level transit system is expected to commence in June, amid a dispute on whether a presidential decree is needed and the uncertainty of the funding scheme.

Bambang Soeroso, chief executive officer of Citra Group, said work would begin on April 21 with field preparations, including soil investigation and drilling.

The system was proposed by the Citra business group, led by President Soeharto's eldest daughter, Siti Hardiyanti Rukmana.

"The ground breaking is expected to start in June," Bambang told reporters at a breaking of the fast gathering at his residence Friday.

The first segment of the overhead transit system would be built at the Kebayoran Lama Railway Station to Gelora.

The system is planned to stretch from Kebayoran Lama to Cinere, both in South Jakarta.

He said the project would need no presidential decree. "We will build a toll road and light rail transit system. We have obtained the decrees from the ministers of public works and transportation," he said. "But if the presidential decree is a must, we will obtain that. That will be okay."

Minister of Public Works Radinal Moochtar had earlier said a presidential decree would not be necessary prior to commencement of construction.

Deputy Governor for Economic and Development Affairs TB. M. Rais said, however, that the system required a presidential decree to start.

The system will consist of a mass transit system in the form of an elevated railway track for light rail transit, a highway and arterial roads.

A presidential decree would be needed to decide which agency would manage it.

According to the proposal, the three-level transit system would cost Rp 5.8 trillion.

Bambang said many foreign and local investors had shown interest in the huge project. Some foreign financial sources had also offered loans to the Citra Group for the project.

"We are still determining the potential of local funding. Combining three transportation modes is something new. Therefore, the financial scheme will be different from the projects we have carried out in the past," he said.

"This is a huge project. We need loans, and 40 percent of the loans may be from foreign financiers," he added.

According to Bambang, the number of companies joining the consortium to deal with the three-level transit project might reach more than 60. "Among them will be companies from Canada, Hong Kong and Singapore."

Apart from the three-level transit system, a subway project is also being planned to ease the city's traffic.

The subway project, which is scheduled to start in April, is now awaiting a presidential decree before commencement.

The US$1.5 billion subway for the Mass Rapid Transit system will connect Blok M in South Jakarta and Kota.

The 14.5-kilometer underground subway would be built by a consortium of Indonesian, Japanese and German companies, called the Indonesian Japan European Group.

Reports said Bambang Trihatmodjo, President Soeharto's son, has joined the consortium.

The subway project was proposed by a study team under the auspices of the Agency for the Assessment and Application of Technology, led by B.J. Habibie.

Reports on the construction of the subway have apparently confused Jakartans over which project will be chosen to deal with the city's traffic dilemma.

Deputy Governor TB. M. Rais had earlier said an elevated railway or subway would be suitable, while observers were worried that if the two huge projects were begun at the same time, traffic in the capital would become worse.

Bambang Soeroso said there was nothing to worry about. "We have discussed ways on how to avoid disrupting the normal flow of traffic with all parties involved in the projects. The subway project would affect the flow of traffic very little," he said. (sur)