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As Xi visit draws near, delays haunt Jakarta-Bandung rail project
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Workers stand beside a high-speed train for a rail link project that is part of China's Belt and Road Initiative, at the Tegalluar train depot in Bandung, West Java, on Oct. 13. (Reuters/Yuddy Cahya Budiman)
Y
ears behind schedule, the high-speed railway link to connect Jakarta with Bandung is set for a trial this month in preparation for commercial operations planned to commence in June of next year. However, experts have not ruled out further delays.
The dry run is to commence on Nov. 16, coinciding with the Group of Twenty Summit and allowing the government to showcase the Indonesian-Chinese project to leaders from major economies.
The stakes are high, with Chinese President Xi Jinping set to personally oversee the event online from Bali.
Just days ahead of the trial, however, a protracted discussion on cost overrun still plagues the project, with the Indonesian and Chinese sides presenting different figures.
Presentation material from the State-Owned Enterprises (SOEs) Ministry puts the cost overrun at US$1.45 billion based on two assessments from the Development Finance Comptroller (BPKP).
According to separate document seen by The Jakarta Post, that figure could jump to $1.9 billion if a third assessment were conducted to include more factors, like interest rate hikes. The same document states that the Chinese side put the figure at $982 million.
The cost overrun is on top of the initial project cost estimate of $6 billion.
