Southeast Asia’s first bullet train connects Jakarta and Bandung in just 45 minutes but raises questions about long-term viability.
Indonesia’s ambitious high-speed railway, a multibillion-dollar project under China’s Belt and Road Initiative, has launched to much fanfare. The “Whoosh” train, reaching speeds of up to 350km/h, promises a swift 45-minute journey between Jakarta and Bandung. However, experts have voiced doubts about its profitability, citing station accessibility, maintenance costs, and pricing concerns.
High Costs and Challenges
The railway, built by the joint Chinese-Indonesian venture PT Kereta Cepat Indonesia China (KCIC), cost over US$7 billion. Despite its technological sophistication, observers highlight operational challenges that may hinder its financial sustainability.
Dr. Siwage Dharma Negara from the ISEAS-Yusof Ishak Institute notes, “The high-speed train has to compete with existing transportation options between Jakarta and Bandung.” He also emphasizes the need for competitive pricing and efficient operations to ensure long-term viability.
Tickets for the railway, expected to range from 250,000 to 300,000 rupiah (US$16–$19), are currently free during a trial period. Observers believe fares could rise in the future, potentially deterring the middle-class commuters it aims to attract.
Location and Accessibility Issues
Another key issue is the poor placement of its four stations. For example, passengers traveling to central Bandung must still rely on feeder trains from Padalarang station, reducing the train’s convenience.
“The locations don’t cater to commercial areas,” says Achmad Sukarsono from Control Risks. He adds that commuters may continue to prefer cars or shuttle buses, as these remain more accessible and convenient.
Potential Economic Impact
Despite these challenges, analysts also see potential economic benefits, including job creation, technology transfer, and improved connectivity. “This project could stimulate economic growth in Indonesia,” Dr. Negara suggests, adding that the broader impact needs careful evaluation before labeling it a financial misstep.
Legacy and Bilateral Cooperation
The high-speed rail, initially slated for completion in 2019, faced delays due to construction issues and the COVID-19 pandemic. Its eventual completion is seen as a milestone for Indonesia-China relations, furthering infrastructure cooperation.
President Joko Widodo has championed the railway as a symbol of modernization. However, experts urge Indonesia to diversify its investment sources to avoid over-reliance on China, despite its ability to deliver projects when other nations fall short.
Looking Ahead
As President Widodo nears the end of his term in 2024, his administration’s focus on infrastructure remains a defining aspect of his legacy. Observers agree that the high-speed rail’s success will depend on continued development, pricing strategies, and addressing accessibility concerns.
Whether Indonesia’s next leadership will sustain this momentum and further refine the railway’s operations remains to be seen.
