Indonesia kicks off high-speed train project
The Indonesian government signed the contract to construct the planned 142-kilometer high-speed railway between Jakarta and Bandung in West Java last week with a Chinese-backed engineering procurement and construction consortium.
The railway will be operated by the High-Speed Railway Contract Consortium, while the concession is held by joint venture partner Kerata Cepat Indonesia-China (KCIC) consortium in which China Railway International Co Ltd holds a 40-per cent share. Domestic participants include engineering firm PT Wijaya Karya, toll road operator Jasa Marga and national train operator PT KAI.
The railway project is expected to be completed in May 2019. A 50-year design-build-operate-maintain concession will then come into effect for KCIC. The project costs of $US 5.5 billion project will be 75 per cent-financed by China Development Bank, with the joint venture funding the remaining 25 per cent.
The Indonesian high-speed railway is only the second second such infrastructure project in an advanced stage behind the Kuala Lumpur-Singapore high speed railway for which the technology partner has not been chosen yet and Chinese, Japanese and South Korean railway firms are expected to bid. This track should be completed in 2026.
Thailand also plans several high-speed railways, one with Chinese support from Kunming to Bangkok, but there are disagreements about construction funding and operational costs. Laos and Vietnam also suggested to build high-speed railway tracks with Chinese support, while the Philippines’ San Miguel Corporation made a proposal for a bullet-train system across Luzon.
In the Indonesian case, it is the first time that Beijing allowed a state-owned railway company to fully immerse itself in an overseas project. The railway will create 40,000 local jobs during its construction phase and will shorten travel time between Jakarta and Bandung from more than three hours to 40 minutes with the highest speed reaching 350 kilometers per hour.
The Indonesian government signed the contract to construct the planned 142-kilometer high-speed railway between Jakarta and Bandung in West Java last week with a Chinese-backed engineering procurement and construction consortium. The railway will be operated by the High-Speed Railway Contract Consortium, while the concession is held by joint venture partner Kerata Cepat Indonesia-China (KCIC) consortium in which China Railway International Co Ltd holds a 40-per cent share. Domestic participants include engineering firm PT Wijaya Karya, toll road operator Jasa Marga and national train operator PT KAI. The railway project is expected to be completed in May 2019. A 50-year design-build-operate-maintain...
The Indonesian government signed the contract to construct the planned 142-kilometer high-speed railway between Jakarta and Bandung in West Java last week with a Chinese-backed engineering procurement and construction consortium.
The railway will be operated by the High-Speed Railway Contract Consortium, while the concession is held by joint venture partner Kerata Cepat Indonesia-China (KCIC) consortium in which China Railway International Co Ltd holds a 40-per cent share. Domestic participants include engineering firm PT Wijaya Karya, toll road operator Jasa Marga and national train operator PT KAI.
The railway project is expected to be completed in May 2019. A 50-year design-build-operate-maintain concession will then come into effect for KCIC. The project costs of $US 5.5 billion project will be 75 per cent-financed by China Development Bank, with the joint venture funding the remaining 25 per cent.
The Indonesian high-speed railway is only the second second such infrastructure project in an advanced stage behind the Kuala Lumpur-Singapore high speed railway for which the technology partner has not been chosen yet and Chinese, Japanese and South Korean railway firms are expected to bid. This track should be completed in 2026.
Thailand also plans several high-speed railways, one with Chinese support from Kunming to Bangkok, but there are disagreements about construction funding and operational costs. Laos and Vietnam also suggested to build high-speed railway tracks with Chinese support, while the Philippines’ San Miguel Corporation made a proposal for a bullet-train system across Luzon.
In the Indonesian case, it is the first time that Beijing allowed a state-owned railway company to fully immerse itself in an overseas project. The railway will create 40,000 local jobs during its construction phase and will shorten travel time between Jakarta and Bandung from more than three hours to 40 minutes with the highest speed reaching 350 kilometers per hour.
