Jakarta Governor, Basuki Tjahaja Purnama, will not give a subsidy for Light Rapid Transit (LRT), a rail-based transportation. It is because the facility such as lane and station are built by central government. The operational and train procurement or rolling stock will be given to private party via an auction.

No subsidy for LRT since the central government assist up to 70 percent

According to him, central government has funded the project up tp 70 percent. The LRT tariff could reach Rp 10-15 thousand.

"No subsidy for LRT since the central government assist up to 70 percent," Basuki said, Friday (9/11).

LRT development is run by central government together with Jakarta Provincial Government. Basuki lets Ministry of Transportation run the seven corridor's operational auction.

Giving the auction process to the Ministry, it means no different corridor executor. It will surely be integrated each other, and tariff fee will remain the same for inner and outer city.

The Indonesia President Joko Widodo has issued Presidential Regulation (Perpres) No. 98/2015 about Light Rail Transit Acceleration integrated with Jakarta, Bogor, Depok, and Bekasi. Also Perpres No. 99/2015 about Public Train Acceleration in Jakarta.

Based on those regulation, Jakarta Provincial Government is able to choose Regional-Owned Enterprise (BUMD) to develop LRT infrastructure. Central government's LRT is worked by PT Adhi Karya, while city's LRT done by PT Jakarta Propertindo.

Later on, Jakarta Provincial Government will buy the infrastructure back.