BRUNEI MARITIME MASTERPLAN Muara port development strategy Faculty of Civil Engineering and Geosciences Department of Hydraulic and Geotechnic Engineering Section of Hydraulic Engineering Name student: A.F. Prinsen Study number: 9672063 COMMITTEE Chairman Prof. H.Ligteringen MSc Section: Hydraulic Engineering, Ports and waterways Email address: [email protected] Member: R. Groenveld MSc Section: Hydraulic Engineering Email address: [email protected] Member: J.P. Noppen BBE BSc MSc Section: Processes in Building Email address: [email protected] Member: T. Vellinga MSc Section: Hydraulic Engineering Email address: [email protected] External Advisor: R. Clarke Function: Director Ports and Dockyard, Halcrow Group Ltd. Email address: [email protected] BRUNEI MARITIME MASTERPLAN Acknowledgment This research project completes my study at the faculty Civil Engineering of the Technical University Delft. The project was offered by Halcrow Group Ltd. and provided me with the opportunity to contribute to the maritime development of Brunei. This study provides insight of the development possibilities of Brunei maritime infrastructure and Muara port. I hope that the structure of the approach and its outcome contribute to the realisation of Brunei’s vision on the future maritime development possibilities. I would like to thank my graduation committee members for their guidance, critical remarks and contribution: Chairman prof. ir. H. Ligteringen ir. R. Groenveld ir. J.P. Noppen ir. T. Vellinga. Special thanks goes to mister Richard Clarke of the Ports and Dockyards department of Halcrow Group in London for providing me with the opportunity gaining working experience abroad. Alexander Prinsen The Hague, July 2004 BRUNEI MARITIME MASTERPLAN - i - Summary Summary The Sultanate of Brunei, located on the island of Borneo in Southeast Asia, is a country with large oil and gas reserves that has been able to create economic growth from its oil and gas revenues. The Asian crisis and fluctuating world oil and gas prices have shown that Brunei’s economic base is vulnerable as it depends heavily on these revenues. Furthermore new oil and gas finds are becoming scarce and oil and gas production may decline in the future. With the aim of creating a more balanced economy the Brunei Government has developed since its independence in 1974 National Development Plans. Currently the 7th NDP is being implemented and more emphasis is put on attracting (heavy) manufacturing and high-tech industry. The government has selected 10 industrial areas (722 ha) in Brunei for industrial development. On one of these sites, Sungai Liang, plans are to develop large scale industrial activity such as an Alumina Smelter and Tire Recycling Plant. On the other industrial sites manufacturing and services industry are to be developed. Substantial growth of the Brunei economy goes hand in hand with a review of its present maritime infrastructure. Gaining insight into the implications of an increase in the various cargo flows (dry bulk, multi-purpose and container) on the maritime (Muara Port and Sungai Liang) and land (truck) infrastructure, will be the main focus of this study. The project goal is defined as: ‘To determine for Brunei the optimal terminal locations for the 2015 cargo flows and to develop for Muara port a phased expansion plan.’ The general cargo port of Brunei, Muara port, has facilities for containers and multi-purpose cargo. The container terminal (16 ha) has a capacity for 200,000 TEU and the multi-purpose terminal (10 ha) has a capacity of approximate 1.0 million tons. The planned expansion of the Brunei economy, based on large scale non oil and gas export oriented projects, will therefore have a large impact on the Brunei maritime infrastructure. The existing port facilities are not sufficient to accommodate the foreseen increases in cargo volumes. Three cargo scenarios are developed (low, average and high) to estimate the future cargo volumes. The individual components which generate cargo volumes are determined. The total cargo volume in any year under consideration is calculated as the sum of the individual components. The three individual cargo volume components are based on the real GDP growth (excluding oil and gas), the preferred large scale (heavy) industry investment options at Sungai Liang and the development of the other 9 industrial sites. The average scenario for the year 2015 is chosen for further detailed study. The expected throughput for Brunei of 6.9 million tons is divided between Muara port (3.0 million) and at the west coast near Sungai Liang (3.9 million tons). The potential terminal locations are evaluated and development of Kuala Belait is discarded, based on the extensive redevelopment required. This leaves Sungai Liang and Muara port as the preferred terminal locations. The conclusion from the hydraulic analysis is that the significant wave height at Sungai Liang (Hs > 0.5m, occurring 50% of the time) does exclude the container terminal option. This results in handling the container ships in Muara port. Five routing alternatives, via water and/or land, are generated for the two terminal locations and the cargo volumes involved: direct shipping, Sungai Liang dry bulk jetty and Muara port land transport, Sungai Liang dry bulk jetty and Muara port (multi-purpose) transshipment, Muara port (multi-purpose and dry bulk) transshipment and finally Muara port full land transport option. BRUNEI MARITIME MASTERPLAN - ii - Summary Through a MCE based on four distinctive costs criteria (nautical, hydraulic, transportation and construction) these different alternatives are evaluated. Sungai Liang showed the highest potential as (direct) dry bulk handling terminal location, whereas Muara port is selected for container and multi-purpose cargo handling facilities with truck transport to the hinterland. For Muara port the terminal area dimensions and the required berth length are determined. For 2015 the multi-purpose and container terminal require 26 ha each (total 52 ha). This is 26 ha more than currently in use. The average shipment volumes for the container and multi-purpose are 250 TEU and 4,000 tons respectively. Six multi-purpose berths (939 m) and two container berths (488 m) are required. This is respectively 328 meters and 238 meters more than the current situation. To accommodate the expansion in Muara port four alternative layouts are developed: maximum use existing waterfront (expansion of the terminals to each side), maximum use total waterfront (relocating the multi-purpose terminal), minimum use Pulau Muara Besar (relocating the container terminal to the island) and maximum use Pulau Muara Besar (relocating both terminals to the island). The results from a MCE conducted show that the full development of Pulau Muara Besar has the highest score. This is the result of relocating all maritime activity away from the urban area to the island where space is in abundance and no disturbance occurs to the village of Muara. The relocation of the multi-purpose terminal in Muara port is regarded as the worst. Taking also the high capital cost of the latter into account, this alternative is discarded. Immediate port expansion at Pulau Muara Besar is not feasible as the development of the island has a lead time of approximately nine years, whereas the multi-purpose terminal requires expansion in 2007. This has lead to the conclusion that a phased development approach must be chosen. First the existing waterfront of Muara port has to be developed. Approximately 25 ha is available for expansion until 2015. Parallel with the expansion in the port the basic infrastructure for Pulau Muara Besar must be developed consisting of a bridge and bypass road around Muara village. This phasing will make it possible to relocate the container terminal in 2013 to the island and providing enough space for the multi-purpose terminal on the Muara port waterfront till 2030. Expanding Muara port increases the traffic, industrial noise and safety risks for the surrounding urban area. Noise pollution will require some mitigating measures before 2015. Early construction of the bypass road will alleviate the negative effects of the increased traffic on the inhabitants of Muara village. The hinterland connection capacity itself is sufficient until 2030. With the foreseen port expansion to the island it is recommended to develop the bypass road at an early date. The final conclusion is a phased development approach for Muara port is possible, via the existing waterfront to Pulau Muara Besar and that expansion of Muara port and the development of Pulau Muara Besar has to start as soon as possible. The total investment cost for the phased port development is estimated to be 330 million dollar. BRUNEI MARITIME MASTERPLAN - iii - Table of contents Table of contents ACKNOWLEDGMENT........................................................................................................................I SUMMARY........................................................................................................................................... II TABLE OF CONTENTS....................................................................................................................IV LIST OF TABLES ...........................................................................................................................VIII LIST OF FIGURES.............................................................................................................................IX