KAI CEO: How Subsidies Pruned Want Good Service?

JAKARTA - The government will provide subsidy Rp623 billion to PT Kereta Api Indonesia (KAI). The plan in 2013, KAI will receive a subsidy of Rp704 billion. However, 2013 has the potential to cut subsidies.


President Director of PT Indonesia Railways (Limited) Ignatius Jonan threatened, if the government reduced subsidies, the existing facilities in the economic train will also be trimmed.

"Rp603 billion subsidy last year to serve passengers in economy class. Planned in 2013 will be given subsidy Rp704 billion, but it will be cut. Subsidy cut if the economy was also cut class facilities," said Jonan, during a hearing with House of Representatives Commission XI , Jakarta, Monday (03/04/2013).

Jonan even denounce the plan to cut the House of Representatives Commission XI. He said if the pruning is done, the public convenience users KRL economy would worsen. "Subsidies would cut how you like good service Report trimmed its facilities if the subsidies should be cut," he said.

Chairman of Commission XI DPR Emir Moeis said, the complaint will be submitted to the government. Menrutnya, the use of economic KRL Jabodetabek users quite a lot. "Please Mr. Jonan complained to us (House of Representatives), whenever it is. Hopefully Mr. Jonan complaint be received by the government," he said

Sources: http://economy.okezone.com/read/2013/03/04/320/770449/