This article has been translated by PwC Indonesia as part of our Indonesia Infrastructure News Service. PwC Indonesia has not checked the accuracy of, and accepts no responsibility for the content.
Bisnis Indonesia - ASEAN Railways CEO’s Conference: Wajah baru perkeretaapian Jawa Barat
4 September 2024
By Dea Andriyawan
The modernisation of railways in West Java continues unabated, even with the Jakarta-Bandung High-Speed Railway now in operation. Numerous railway projects have been initiated in the region, aiming to attract both national and international investors.
Some of these projects were unveiled by Transportation Minister Budi Karya Sumadi at the ASEAN Railways CEOs' Conference in Bandung City, West Java, on Tuesday (3/9).
He mentioned that at least two projects are being prepared to modernise the railways in West Java.
In addition to electrifying the railways, the Transportation Ministry is also planning to develop Autonomous Rail Transit (ART) and a Sky Train in Bandung.
He added that the plan to develop these two modes of rail-based transportation is still in the feasibility study stage.
“We want Bandung to have multiple focal points. One is to implement electric railways, and the other is to operate ART here. Additionally, we will construct a Sky Train in Bandung, which is currently under study,” he explained.
Therefore, he is inviting investors to fund the construction of these transportation modes to connect Bandung from east to west and north to south. "I am inviting the private sector in Bandung to invest," he stated.
He believes that Bandung is a region with significant natural beauty potential.
He added that this presents an investment opportunity that ART and a Sky Train can highlight.
“Bandung is beautiful, but it will be more beautiful with ART and a Sky Train,” he stated.
According to him, ART is a necessity for major cities in Indonesia, especially after its implementation in Nusantara Capital City (IKN). He added that ART has attracted the attention of many cities across the country.
Both of these projects, the ART and the Sky Train, will complement Bandung's integration with the Jakarta-Bandung High-Speed Railway (Whoosh), which has attracted 4.2 million passengers since its initial operation from October 2023 to July 2024.
Data from PT Kereta Cepat Indonesia China (KCIC) shows that, at the start of its operation, Whoosh’s average daily passenger volume only reached 9,000.
However, the number continued to grow, reaching around 17,000-18,000 daily on weekdays by July 2024.
Meanwhile, on weekends, the high-speed railway can accommodate around 18,000-22,000 passengers daily, with the highest number reaching 24,000 in a single day.
Rail-based transportation also attracts tourists in Indonesia. Data from KAI shows that from January to July 2024, foreign passengers reached 330,008. In contrast, in 2023, the total was 533,594 passengers.
In a longer corridor, the modernisation of railways is also taking place in West Java, particularly with the operation of the Jabodebek Light Rail Transit (LRT) from Dukuh Atas to Cawang, East Bekasi, and Cibubur.
This situation has made Indonesia the host of the ASEAN Railways CEOs' Conference this year. PT Kereta Api Indonesia (KAI) President Director Didiek Hartantyo mentioned that the event is a regular agenda that Indonesia has attended in the Philippines over the past two years.
He added that this year, Indonesia has the opportunity to be the host, coinciding with the inauguration of two national railway projects: Whoosh and Jabodebek LRT.
“This means that it is important for us, as railway operators, to share our experiences in constructing rail-based transportation. The railways in Indonesia serve as a barometer for countries in ASEAN,” he said on Tuesday (3/9).
During the occasion, Acting West Java Governor Bey Machmudin stated that his administration supports efforts to improve the quality of railways in Indonesia.
“Inshallah (God willing), starting in November, the electrification will be carried out in stages. Hopefully, this will enhance the quality of the Commuter Line in Bandung,” he explained.
Cooperation
Previously, KAI announced that it would explore a cooperation to sell tickets with Malaysia through the Access by KAI application and a Malaysian application.
This was revealed that KAI Commercial Director Hadis Surya Palapa on Monday (2/9).
He explained that KAI will explore a cooperation to sell tickets with Malaysia through their respective applications.
He added that this potential cooperation will be discussed at the ASEAN Railways CEOs' Conference in Bandung.
“How can we sell tickets together? By allowing ticket purchases through their application. That is what we hope to achieve from this conference. We can conduct further explorations, as discussions have already been held,” he explained.
He revealed that the tickets sold will primarily be for tourism railways, such as Whoosh.
In addition to potential cooperation in the technology business line, Hadis also hopes for direct cooperation opportunities, such as establishing routes to neighbouring countries.
“A railway to Kuala Lumpur is too far. However, Kalimantan shares borders with Brunei Darussalam and Malaysia, so there is potential for future cooperation in that region,” he stated.
The potential cooperation is planned to be discussed at the ASEAN Railways CEOs' Conference (44th) in Bandung, from 2 to 5 September 2024.
The conference will be attended by eight railway operators from Southeast Asia, namely Kereta Api Tanah Melayu (Malaysia), Vietnam Railway (Vietnam), Ministry of Public Works and Transport (Cambodia), Lao National Railways (Laos), Philippine National Railways (the Philippines), Myanmar Railways (Myanmar), State Railway of Thailand (Thailand), and PT Kereta Api Indonesia (Persero) (Indonesia).