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The Jakarta Post
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Govt yet to issue permit for KCIC to build high-speed train

  • The Jakarta Post

    The Jakarta Post

Jakarta | Tue, January 26 2016 | 06:11 pm
Govt yet to issue permit for KCIC to build high-speed train

All eyes on new toy: President Joko '€œJokowi'€ Widodo (second left) looks at a model train during the groundbreaking ceremony for the construction of the high-speed railway line between Jakarta and Bandung at Cikalong Wetan, West Bandung, West Java, on Thursday. Senior officials from Indonesia and China, including PT Kereta Cepat Indonesia China president director Hanggoro Budi Wiryawan (left), China Railway Corp. president Sheng Guangzu (second right) and Chinese State Councillor Wang Yong (right), were present at the ceremony.(JP/Arya Dipa)

Despite the President already having attended a groundbreaking ceremony, Chinese investors in the Jakarta-Bandung high-speed train project must remain patient as the Transportation Ministry has yet to issue a necessary permit.

The project cannot move forward while the joint-venture company working on the project, Kereta Cepat Indonesia China (KCIC), does not have a business permit to operate as a railway infrastructure provider, said a Transportation Ministry official.

"We cannot issue the building permit before the business permit is issued," said the ministry'€™s director general of railways Hermanto Dwiatmoko as quoted by kompas.com in Jakarta, on Monday.

The building permit, he continued, required a thorough environmental impact analysis (Amdal). "What we have issued for them is a permit for the first 5 kilometers for groundbreaking purposes. We have not yet received some necessary additional data [from KCIC]," Hermanto explained.

According to the 2013 Transportation Ministry regulation on railways infrastructure business, there are several requirements that the company must meet before getting the permit: They must own trace alignment permits and concession agreements and demonstrate technical design capability.

Unfortunately, KCIC has yet to provide concession agreements. According to the regulation, one must be signed by the transportation minister and KCIC representatives, and follow-up agreements must be signed by the governor and the regent or mayor where the project is located.

Beside the permit, other documents that the company must provide are the project design, technical sketches and specifications, field data, a project timetable, a method-of-operation outline, an Amdal and land-clearing documents showing that at least 10 percent of necessary land has been cleared. (ags)(+)

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