Jakarta. Two state-run companies, the electricity provider PLN and railway operator Kereta Api Indonesia (KAI), inked Monday a memorandum of understanding or MoU on electrifying the country's railway systems.

Under this deal, PLN and KAI will form a joint working team to compile technical, financial, and operational studies, including mapping priority electrification routes in various regions of Indonesia.

Transportation Minister Dudy Purwagandhi said that the partnership between the two state enterprises aligned with President Prabowo Subianto's goal of building low-carbon public transportation. The electrification plan is also expected to reduce Indonesia's reliance on fuel imports.

"In the future, trains will no longer need to use diesel fuel, a fossil fuel, so our dependence on imported fuel, especially for trains, will be reduced or even eliminated," said Dudy.

KAI President Director Bobby Rasyidin said that the partnership with PLN marked a major milestone in the national railway history. This also marked breakthrough as the railway electrification would not use state money.

"This marks the first time for a railway line to be electrified without any government involvement. It will take place via a business-to-business partnership between KAI and PLN," Bobby said.

KAI is planning to electrify some of its major railway lines with the 40-kilometer-long Padalarang-Cicalengka route being in the pipeline. 

"We are also discussing the Rangkasbitung area, as well as the route towards Cikampek. There are also talks on possibly increasing the electrification of existing lines in Central Java," Bobby said.

PLN President Director restated the company's commitment to bolstering the green public transportation infrastructure as well as Indonesia's net-zero emission target.

"PLN is committed to supporting the government's efforts to reduce carbon emissions in the transportation sector. We hope that this collaboration allows trains to be the future of public transportation as they become more efficient and environmentally friendly," he said.

"If locomotives are converted to electric power, they will be 70 percent more efficient and cheaper. It also further cuts greenhouse gas emissions. From imported to homegrown energy, the once expensive energy will be more affordable as targeted by President Prabowo."