Indonesia’s maritime highway project is making progress, with the Transportation Ministry awarding concession rights to state-owned port operators Pelindo III and Pelindo IV to run Teluk Lamong Port in Gresik, East Java, and Makassar New Port in South Sulawesi respectively, local reports said.
Pelindo III was given the concession to operate Teluk Lamong Port for the next 27 years. The company has so far invested IDR3.4trn ($268.6m) for the initial stage of development that was completed last year. “The port currently has a capacity of 500,000 teu in its domestic container terminal and 1m teu in its international container terminal,” Pelindo III president director Djarwo Sujanto said.
Djarwo added that work has begun on phase two, scheduled to be completed next year with a total investment of IDR7trn that would be used to build a pier, stacking yards, power plants and cranes.
“We predict that the port will reach its maximum capacity within the next two or three years so we’ve decided to immediately begin the second stage of development,” he said.
He said the third stage of development was expected to begin in 2021, with a total investment of IDR5.7trn, while the final stage of development would be completed in 2030.The firm has also completed its upgrade of the Surabaya Western Shipping Route (APBS), the main entrance channel for Tanjung Perak Port, widening it from 100m to 150m and increasing draft to 13m.The channel can now take larger ships with a capacity of up to 80,000dwt.
Meanwhile Pelindo IV received the rights to operate Makassar New Port for 70 years, paving the way for the port operator to begin the construction of the port’s first stage of development this year.By operating a new port, Pelindo IV hopes to increase its capacity to handle larger volumes of containers in Makassar as business activities grow. The existing port has a capacity of 700,000 teu and handled 560,000 teu last year.
“The new port will initially have a capacity of 400,000 teu per year and will continue to be expanded to 3.5m teu per year,” Pelindo IV president director Mulyono said, adding that the new port was expected to be operational in early 2018.
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