J

ta MRT
East-West Line Project (E/S)
Key Issues to be Discussed

February 17
th
, 2012

Directorate General of Railways,
Ministry of Transportation

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Republic of Indonesia

Jakarta Mass Rapid Transit East-West Line Project
Key Issues to be Discussed
Agenda
1. Scope of the E/S Loan
2. Implementation Structure
3. Financial Arrangement
4. Terms and Conditions of the Loan
5. Status of Blue Book Revision

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Schedule for the Project
Key Issues to be Discussed
Tentative Schedule
as of December 2011
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2011
Oct

Nov

Dec
2012
Jan

Feb

Mar
Fact Finding Pre-Appraisal*
JICA
Appraisal
Wrap-up
Pledge L/A
(planned)
*If Pre-request from Gov. of Indonesia is issued beforehand.
1. Scope of the E/S Loan

(2) Rationale:
Low accuracy of MM for construction supervision without
even basic design
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Engineering Design (Kembangan ~ Ujung Menteng)
Tender Assistance (Kembangan ~ Ujung Menteng)
(1) Suggestion:
2. Implementation Structure

(2) Lessons from N-S Line:
Better to have simple consulting package
Better to unify the Employer
Better to activate inter-ministerial coordination mechanism
(cf. Steering Committee of the N-S Line)
(3) Another lesson from railway projects in the past:
Operator, as having responsibility of the O&M, is better to have
responsibility on the design
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One Contract Package which covers ED and TA
Implementing Agency: DKI / PT. MRTJ
Coordination Mechanism is required
(1) Suggestion:
3. Financial Arrangement

For the Construction Loan
Need to confirm financial arrangement for the total project cost
before signing the Construction Loan, at the latest.
Divided by items same with N-S Line?
(cf. N-S Line Central Gov.: DKI = 42%:58%)

For the E/S Loan
(1) Suggestion:

E/S Loan: On-granting to DKI Jakarta

(2) Rationale:
Portion of the E/S Loan takes up only small percentage
of the total project cost
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4.Terms and Conditions of the Loan

Options of the terms and conditions:







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i) If applying STEP scheme,
- Interest Rate:
0.2% p.a.(other than consulting services)
0.01% p.a.(consulting services)
- Repayment Period:
40 years, including 10 years of grace period
- Coverage Ratio:
Maximum 100% of the total project cost






ii) If not applying STEP scheme,
- Interest Rate:
1.4% p.a.(other than consulting services)
0.01% p.a.(consulting services)
- Repayment Period:
25 years, including 7 years of grace period
- Coverage Ratio:
Maximum 85% of the total project cost








5. Status of Blue Book Revision

Current situation for the Blue Book
Appropriate amount of cost on the Blue Book
for the Project (E/S Loan)
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