LRT Medan will be Made Up to Lake Toba

By : Chodijah Febriyani And Aldi Firhand A | Thursday, July 19 2018 - 21:03 IWST

Minister of Transportation Budi Karya Sumadi reviewed the LRT project

INDUSTRY.co.id - Medan- Light rail project (LRT) Medan, North Sumatra, will be designed to Lake Toba, said Head of North Sumatra Provincial Transportation Agency MZ Siregar.

On the sidelines of Asia Europe Meeting in Medan on Wednesday, he said that there are already two foreign investors interested in working on the project, namely South Korea and China.

"China and South Korea are meetings, we are facilitators, help her desire," he said.

Siregar said the two investors have been doing the study and review to the field.

"They are ready, we wait for who is Korea first what China," he said.

He said for the scheme of intergovernmental (G to G) and development will take up to five years.

But related to the magnitude of the potential cost is disbursed, he can not answer.

"Clearly larger than the LRT Palembamg because the distance to 160 kilometers," he said.

Contacted separately, Public Relations Directorate General of Railways Kemenhub Eben Torsa said Pemrov party has not discussed the extension plan of LRT line to Lake Toba to the central government, in this case, Kemenhub.

"It's just heard that will be built up to Lake Toba, because earlier the discussion was not up to there," he said.

Eben rate it is possible if in terms of financing is very strong and investors are able to cover all the costs.

He said, in investing for railway infrastructure project is very long for the return of capital (break even point).

Plus, said Eben, the path to Lake-Toba is hilly-proof so the cost required is considerable.

"It means that if the demand there is a bit, investors will think again, so we wait and see, hopefully the local government will coordinate with the central government on this matter," he said.

The Medan City Government has stated that the development of LRT and BRT (bus rapid transit) is a major project.

Means along the 17 kilometer road will be built for LRT, while for the BRT along the 18 kilometers.

The project is expected to cost Rp16 trillion with funding sources from government and private investors.