Pelindo II Indonesia will build three new ports amount U.S. $ 5.9 billion

JAKARTA: In order to reduce logistics costs, up to 2 years PT Pelabuhan Indonesia (Pelindo) II will build three new ports amount of U.S. $ 5.9 billion or equivalent to Rp52.6 trillion.

The third port is the Port of Tanjung Priok Kalibaru valued at Rp22, 6 trillion, which was built in Sorong Harbour is 10 trillion, and the Port of Tanjung Batam Sawuh capacity of 4 million TEUs amount Rp20 trillion, which was built next year.

"The end of July, we will sign a memorandum of understanding (MoU) with China Merchants Holding to build a container terminal and iron ore transhipment terminal at the Port of Batam," said Director of PT Pelindo II RJ. Lino in discussions with the Chamber of Commerce and Shipping Logistics Indonesia, Tuesday (26/6/2012).

He explained the iron ore (iron ore) which can be transported from the port of Batam is the latest in a capacity of 100 million tons per year with an investment of U.S. $ 2 billion or Rp20 trillion.

Is targeted to a ground breaking in 2013 and began operations in 2015-2016. Capacities of the Port of Batam terminal is to reach 4 million TEUs.

"China Merchant ready to invest until the majority," he said.

Lino also mentions in this year it will begin to build the Port of Sorong, Papua. This port to a new corridor linking the eastern part of Indonesia, Australia and America.

Sorong will have capacity of 700.000 teus per year with an investment of Rp 10 trillion. "Car terminal will be able to accommodate 750,000 units and targeted for completion in 2013," he said.

Other projects, added Lino, the Port of Tanjung Priok Kalibaru Terminal with an investment of U.S. $ 4 billion, of which phase one investment of Rp22, 66 trillion, including investment in toll roads along the seven miles to the investment of Rp1, 3 trillion. "We have a loan from Bank Mandiri Rp11 trillion."

Master development plan consists of three container terminals and terminal fuel oil and gas. "Beginning in July 2012 will start construction," said Lino.

Lino added that he would seek a strategic partner for the development of this Kalibaru the partners who can add value to Indonesia such as bring in a large-capacity vessels.

"We do not need a partner investor because of the financial side, but a partner that could provide added value to Indonesia," he said.

According to him, Pelindo II Rp 7 trillion revenue target in 2012, since January to May was recorded Rp2, 7 trillion.

Revenues this year rose from a year ago are still Rp5, 1 trillion. "We are targeting profit over Rp2 trillion this year," he said.

Representatives of World Bank Office Indonesia Henry Sandee said logistics costs from one port to another port in Indonesia is more expensive and longer than the costs of port logistics in Indonesia to foreign countries like Singapore.

He cited the cost of shipping from Jakarta to Padang Tanjung Priok worth U.S. $ 600, while Singapore's Tanjung Priok-only U.S. $ 185. Even the delivery of Tanjung Priok to Banjarmasin takes 4-47 days at a cost of U.S. $ 650.

"Logistics becomes an important element to maintaining national competitiveness, it must improve the infrastructure," said Henry.

For example, Henry added, the cost of logistics from Jakarta to Tanjung Priok Cikarang Jakarta with a distance of 55.4 KM will cost U.S. $ 750, while in Malaysia, from Tanjung Pasir Gudang to Release within 56.4 KM of U.S. $ 450.(*)

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