Suyono dikun indonesia railway reform june 14 2011
Indonesia Railway Reform<br />SuyonoDikun, PhD<br />Professor in Transport Planning and Policy<br />University of Indonesia at Depok<br />IndII Wrap-up Conference<br />14thJune 2011<br />
NationalRailwayMaster Plan - 2030 Projections<br />
Indonesian railway ata crossroads<br />Legal Path following Law no. 23/2007 <br />Future<br />Railway System<br />Current <br />Railway System<br />Revitalisation<br />“De-Facto” Path staying <br />at current vertical integration<br />Can acompromise or an interim solution be worked out between the regulator and operator?<br />
No compromise: Regulator<br />Legal Path <br />Full compliance with Law no. 23/2007 <br />
No compromise: Incumbent Operator<br />Stay at current vertical integration<br />PT KAI will still operate the existing railway system under vertical integration but has more freedom to invest on both infrastructure and rolling stocks.<br />
IndII assistance<br />IndII has made a lot of policy recommendations on these studies<br />
Lessons learned: The good news<br />Railway stakeholders (DGR, Bappenas, CMEA, MOF) have agreed on the urgent need to revise the current PSO-IMO-TAC scheme.<br />The new framework would make the existing scheme work better.<br />The new framework would enable multi operators and private special railways to become a reality in future railways.<br />IndII’s next involvement would probably include assistance with establishing new framework for the PSO-IMO-TAC scheme.<br />
Lessons learned: Pending matters<br />Revitalisation and restructuring agenda for Jabodetabek Metropolitan Railway is yet to be confirmed by the government.<br />The agenda includes: the enhancement of PT KCJ to be an independent urban railway company; asset separation; network statement; and financial support.<br />The corresponding issue of raising ridership up to three million passengers per day in 2015 and beyond has been endorsed by the government.<br />DGR has to be strengthened institutionally to be able to make a rapid delivery.<br />
Lessons learned: The bad news<br />The NRMP has been formally issued as a long-term planning document but failed to incorporate many strategic issues that had been reported in two IndII’s papers.<br />The NRMP lacks a sound investment plan for the next one or two decades.<br />The NRMP has no mention on the investment strategy, financing, and the role of private involvement including PPP and PFI for special railways.<br />Even for government investment and public sector spending the NRMP has not described the future configuration of APBN funding.<br />
Proposals<br />IndII would probably embark on the second stage of infrastructure agenda beginning July or August 2011.<br />Despite the good news described above, it is strongly suggested that government takes a strong lead and ownership in any program of railway revitalisation ahead.<br />It is a developed and modern Indonesian railway that government would like to see in the years ahead as a backbone for economic mobility, especially freight movement.<br />Good enough is no longer enough. Indonesia needs a rapid change towards a developed economy.<br />
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