MRT Jakarta offers five station naming rights

MRT Jakarta offers five station naming rights

PT MRT Jakarta President Director William Sabandar speaking to reporters after a presentation titled "MRT Jakarta: Guarding Sustainability" in Jakarta on Wednesday (27/11/2019). ANTARA/Juwita Trisna Rahayu/ac.

At the moment there are five (named stations), we are targeting five more in the next year,
Jakarta (ANTARA) - PT MRT Jakarta has offered five station-naming rights in 2020 to add to the existing five named stations, which contribute to the company's earnings from station commercialization. "At the moment there are five (named stations), we are targeting five more in the next year," said PT MRT Jakarta President Director William Sabandar in his presentation titled "MRT Jakarta: Guarding Sustainability" in Jakarta, Wednesday.

Five stations that have received the naming rights contract include Dukuh Atas BNI, Setiabudi Astra, Istora Mandiri, Blok M BCA and Lebak Bulus Grab.

MRT Jakarta has 13 stations, but one of them, the ASEAN station, has not been contracted because it was a grant from the DKI Jakarta Government as an appreciation to ASEAN.

With 10 stations contracted, Jakarta MRT has two more stations that are still available.

One of the stations with the highest bid is the Bundaran HI Station and MRT Jakarta is currently still delaying the opening of that bid.

"(In 2020) We will open the bidding for Bundaran HI. There is big potential," he said.

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The naming rights were one of the biggest contributors in terms of non-farebox revenue, reaching 33 percent after advertising, which contributed 55 percent, he said.

For example, the value of the Lebak Bulus Station contracted by Grab, reached Rp33 billion a year.

"For this reason, we must encourage naming rights to increase revenue from the non-farebox side," he said.

Non-ticket revenue sources amounted to Rp225 billion, which is greater than the revenue from tickets or farebox totaling Rp180 billion, until the end of 2019, Sabandar further said.

From the non-ticket revenue, the biggest contributor was advertising with 55 percent, naming rights was 33 percent, telecommunications was two percent and retail and Micro, Small and Medium Enterprises (UMKM) was one percent.

The other nine percent came from bank interests and foreign exchange differences valued at Rp40 billion.

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