KAI, RMK Energy launch coal unloading station in S. Sumatra

By Tri Subhki R

PT RMK Energy, a coal infrastructure company, and state-owned railway firm PT Kereta Api Indonesia (Persero) launched Tuesday the maiden operation of coal unloading facility at Simpang Station, Ogan Ilir regency, South Sumatra province.

Slamet Suseno Priyanto, Director of Operation of PT KAI, officially inaugurated the operation of coal unloading facility at Simpang Station.

"Coal hauling by train will help tackling social issues in South Sumatra by reducing coal hauling via trucks," Suseno said on Tuesday.

Coal hauling by trucks have been causing social issues in the province, such as road accidents, road damages and heavy traffic jam.

Tony Saputra, President Director of RMK Energy, said the company provides 8 km coal hauling from Simpang Station to its jetty and multi-users stockpile before shipping the coal to vessels.

"Our current capacity is 3 million tons of coal per year and will gradually increase up to 6 million-10 million tons," he said.

South Sumatra has 22.24 billion tons of coal reserves but the coal producers cannot operate optimally due to lack of coal infrastructure.

Editing by Reiner Simanjuntak