President Joko Widodo Signs LRT Presidential Regulation

President Joko Widodo Signs LRT Presidential Regulation

In order to improve the service of public transportation that will support the development in Jakarta, Bogor and Bekasi, President Joko Widodo signed  Presidential Regulation Number 98 of 2015 on the Acceleration of Integrated Light Rail Transit (LRT) Implementation in Jakarta, Bogor, Depok and Bekasi, on Wednesday (2/9).

Based on the Presidential Regulation, the implementation of integrated LRT consists of several service routes, among others: a. Cawang-Cibubur service route;  b. Cawang-Kuningan-Dukuh Atas service route; c. Cawang-East Bekasi service route; d. Dukuh Atas-Palmerah-Senayan service route; e. Cibubur-Bogor service route; f. Palmerah-Bogor service route.

“Beside service routes as mentioned, the Government can establish other service routes as assigned by the Regulation of the Minister of Transportation,” so the Article 1 paragraph (4) of the Presidential Regulation says.

The Presidential Regulation also stated that the Government assigns PT Adhi Karya to build infrastructures of integrated LRT consisting of: a. Tracks, including elevated railway construction; b. Stations; and c. Operational infrastuctures.

In the implementation of infrastructures’ construction as mentioned above, PT Adhi Karya can cooperate with other business entities. The construction’s stages shall be included in the contract between Ministry of Transportation and PT Adhi Karya.

The Presidental Regulation also assigns PT Adhi Karya to compile technical document and budget document of integrated LRT infrastructures construction plan, that based on Owner Estimate (OE) and Technical Specification (TS) which are set by the Minister of Transportation.

“Technical document and budget document of integrated LRT infrastructures construction plan as mentioned shall be handed over to the Minister of Transportation 3 (three) months in maximum in order to get approval from the Minister of Transportation,” so the Article 3 paragraph (2) of the Presidential Regulation says.

Furthermore, the Minister of Transportation will grant the permission, 30 (thirty) days at the latest after the technical document and budget document are completely received by the Minister.
According to the Presidential Regulation, in the implementation of infrastructures construction of the integrated LRT, PT Adhi Karya will maximize the use of domestic components.

Meanwhile, to improve the quality of PT Adhi Karya’s work, the Presidential Regulation assigns the Minister of Transportation to provide supervisor consultant with international qualifications through a direct appointment procurement.

Budgeting

According to the Presidential Regulation,  the budgeting of PT Adhi Karya in the implementation of infrastructures construction of the integrated LRT is sourced from: a. State Capital Participation; and/or b. Other funding in accordance with the provision of laws and regulations.

Furthermore, the Government pays for infrastructure acquisition in every service routes that are built by PT Adhi Karya. “The payment is carried out gradually or at once in accordance with the provision of laws and regulation, and the budget is allocated from Minister of Transportation Budget,” so the Article 6 paragraph (2,3) of the Presidential Regulation says.

Regarding PT Adhi Karya’s assignment, the Government and Regional Governments (Pemda) provide easy permit, inexpensive permit costs, permit-free, tax and customs facilities that accord with the provision of laws and regulations.

(ES/Humas)(RAS/MMB/YM-Naster/Sy)