Download PDFInfrastructure sector: Jakarta Provincial government has submitted a list of infrastructure projects to the central government with total project reaches Rp571tn in the next 10 years, of which Rp400tn is a mass transportation project such as the MRT, LRT, and water transportation lines. However, the state's income and expenditure budget ( APBN ) only covers Rp160tn, while the rest has rely on government and business entity cooperation ( KPBU ) funding schemes. If succeeded, by 2030 the government targets 60% of the community movement in Jakarta to use public transportation (vs. 2M19: 24%).
List of Infrastructure Project | ||
MRT | Investment (Rp Tn) | |
1 | Bunderan HI - Kampung Bandan | 22.5 |
2 | Kalideres - Bunderan HI | - |
3 | Bunderan HI - Ujung Menteng | - |
LRT | ||
1 | Kebayoran - Kelapa Gading | - |
2 | Velodrome - Tanah Abang | 8.5 |
3 | Joglo - Tanah Abang | - |
4 | Puri Indah - Tanah Abang | - |
5 | Pesing - Kelapa Gading | - |
6 | Ancol - Kemayoran | - |
Waterway Transporation | - | |
Giant Sea Wall | 100 | |
Jakarta Sewerage System | 90 | |
Sunter Waste Management Facility | 3 | |
Source: DKI Jakarta Provincial Government, Kontan | ||
Comment: We are still neutral on the news as most of the projects are still under review. However, our concern liest on the funding scheme which will weighting contractors player, if they are required to make a huge investment or asked to take the project with turnkey payment. At this stage we maintain WIKA as our top pick in construction sector given company's heathly balance sheet and strong earnings outlook.
Sumber : IPS RESEARCH