Indonesian Port Corporation News

The Indonesian government has ambitious plans for major infrastructure projects in the near future in order to give a massive boost to the country’s economy, already the largest in South-East Asia. Its shopping list includes among other things the construction of dozens of ports to serve the country’s almost 14,000 islands. To achieve this the Indonesian government is looking abroad for international expertise from among others Antwerp, the second-largest port in Europe. During the foreign trade mission headed by Princess Astrid of Belgium, Port Authority chairman Marc Van Peel signed two framework agreements with IPC Corporate University, a subsidiary of the Indonesian Port Corporation (IPC), one of the country’s four national port authorities.

The Port of Rotterdam Authority has signed a partnership agreement with the Indonesian Port Corporation Pelindo I for the development of a new deep sea port at Kuala Tanjung near to Medan in Sumatra, Indonesia. Under the agreement the Port of Rotterdam will undertake a feasibility study for the new port. Depending on the outcome of the feasibility study the Port of Rotterdam decide whether to enter into a joint venture with Pelindo I to construct and develop the port at Kuala Tanjung. “We want to share our knowledge in the construction, development and management of Kuala Tanjung. We are confident that the Port Authority and Pelindo I will form a strong team that will serve the country and provide for a better future,” said Allard Castelein, ceo of the Port of Rotterdam.

Van Oord wins contract with PT PP (Persero) TBK for deepening the port and reclaiming land for a new terminal area in Tanjung Priok, Jakarta. The contract is part of the Kalibaru North Container Terminal Phase 1 Project, which will expand the port of Tanjung Priok by 4.5 million TEUs (Twenty-foot Equivalent Units). The client for the large port expansion is IPC, Indonesian Port Corporation. The entire project will take approximately three years to complete and provides a sustainable impetus for the economic growth of Indonesia. The contract value amounts to more than EUR 150 million.

In addition to the much anticipated Kalibaru Port that is expected to cost Rp 22.6 trillion (US$2.39 billion) in the first investment phase, Pelindo II will construct new ports in Tanjung Sawuh, Batam; Riau Islands province; and Sorong in West Papua, said president director Richard Joost Lino. “At the end of July, we will sign an agreement with the China Merchant Holding to construct a container terminal and an iron ore trans-shipment terminal in Batam,” Lino said on the sidelines of a logistics discussion with the Indonesian Chamber of Commerce and Industry (Kadin). Pelindo II is set to begin construction of the 4 million 20-foot equivalent units (TEUs) facility next year. Total investment for the Tanjung Sawuh Port is projected to reach Rp 20 trillion, Lino said.