Infrastructure by Scott Younger

element of competition and a basis of Nudging forward on comparison on quality of work. Further east there are good signs that work could commence on the key transportation and Palimanan toll road this year and even futher east the Mojokerto-Kertosono section will be usable. water infrastructure A decision has been taken on how the new port expansion at Tanjung Priok, the Kalibaru project, is to be handled. The project will increase the overdue expansion of capacity for handling container traffic as well as for bulk petroleum products and is to be driven forward by Pelindo II, which has been working hard in the past year to develop a sound plan. The approval for Pelindo II clarifies the response to the invitation put out by the Directorate General of Sea Transport in the middle of last year where the private sector was invited to show interest and four consortia were put together and submitted expressions of interest. These four groups may be invited to maintain interest for the longer- term requirement of a brand new port to serve and western Java, ince the turn of the year, steadily to link up the eastern section of designated at Cilamaya on the north there have been signs of JORR to Tanjung Priok. coast of Java within . developments in several The linking section between Operations from this port should areas of infrastructure. On Jagorawi and Depok has just started naturally follow on from the time toll roads there is some to accept traffic prior to formal that the Kalibaru development itself sign of activity taking place on the opening and implementation of is approaching full capacity, but in long-awaited completion of the Jakarta tolling. This should help to ease some order to achieve that preliminary Outer Ring Road with a reasonably of the congestion in that area east of work is required from now on. A clear indication that the 7-km missing Jakarta. Less progress has been made, study under the Japan International link, W2, between and unfortunately, on the other links Cooperation Agency (JICA) is just Ulujami, will be operational in a couple designated around the same area. getting under way. In the immediate of years. The proposal for the six toll term, nevertheless, it is essential that The impact of this on the toll road routes within the city of Jakarta to Kalibaru proceed as quickly as possible. through the center of Jakarta once W2 proceed as one package needs to be is open to traffic will be significant and re-examined. Dividing this into two or No port investment for 25 years will provide a very acceptable by-pass three packages will make the financing For ports in general, there has round the city for east-west traffic not manageable for interested toll-road effectively been little or no investment designated for Jakarta, alleviating some developers; as one package is hard to across the country for 25 years, and a of the daily congestion stress between do. In addition, promotion as more similar lack in shipping. Many major

Grogol and Cawang. Work is proceeding than one package can introduce an ports, such as Surabaya and Semarang, Afri a di Hikm l

112 GlobeAsia March 2012 Infrastructure

an area also suffering subsidence The proposal for the six toll problems, as well as a slew of other routes within the city of Jakarta lesser ports, need attention. Some to proceed as one package dedicated purpose private ports, needs to be re-examined. including those for coal, are being upgraded or expanded, as appopriate, by their owners. There is also the question to be addressed of the impact on conurbations in the world, such as Directorate General and the Ministry, transportation of the legislative London or New York, it can be seen with the final version expected to be requirement that by 2014 mineral that these areas are serviced by three finalized in the course of 2012. commodities will have to be processed main airports as well as other minor The Directorate General is expected before shipping out, a matter that is supporting ones. to integrate inspection, maintenance, going to need increasing attention in Hence it is not surprising that logistics, etc, within the new structure. the months ahead, as well as futher supply is going to have great difficulty The outcome is intended to provide a implementation of the rules on meeting demand in the times ahead modern, economically working railway cabotage and investment in new ships. and the situation is only going to system with greater punctuality, reliability The growth in domestic air travel become more acute since it must be and safety, and hence a better foundation last year recorded an impresssive 15%, at least six or seven years from now on which to introduce investment. adding several million passengers before the new planned airport is Plans to implement the Jakarta city- taking to the air from the upwardly functioning, assuming the location airport rail project remain active, albeit mobile Indonesian populace. The main is finalized, financing arranged and there has been considerable rethinking of airlines with an Indonesian base – development undertaken. the original proposal put forward a few Garuda, Lion, AirAsia – have all been Two sites for the new airport years ago by PT KAI and Angkasa Pura expanding their fleets to accommodate are currently in the frame, however. II, through the formation of Railink. this impressive rate of growth. Kertajati is being promoted by the Within the city, apart from the However, while plans are in West Java government and a newer site elevated non-toll road capacity hand and forward development is nearer Cikampek is being examined expansions in Jl Antasari and Jl Satrio, being carried out in some places, under the auspices of JICA, closer to some progress on development of the crucially as in Bali, the overall airport the many current industrial ventures Lebuk Bulus – Monas MRT should be infrastructure to accommodate this located to the east of Jakarta, as well as made, while the monorail lies mired in take off for future requirements is the future Cilamaya port. political obfuscation and apparent lack lagging well behind schedule. Following the signing of the new of consistency in policy making. The location for a new airport to railway law in June 2007, three years A few key water supply projects are serve West Java, Kertajati, some 60 were allocated for the reorganization of also being evaluated with tender awards km to the northeast of Bandung was structures, particularly the separation due in the coming months. Key support identified a few years ago, and this is of responsibility for infrastructure is being provided for the well-structured listed as a priority project for the West and operations. The former would Bandar Lampung area project by the Java provincial government. fall under the aegis of the Ministry Infrastructure Guarantee Fund. This much-needed airport is to of Transport through the Directorate Other regencies are perking up meet escalating demand for air travel in General of Railways, with the latter to to the knowledge that they have the western Java and the construction of this be handled by PT Kerata Api jurisdictional responsibility to attend to airport should already have been under (PT KAI). Implementation has slipped water improvements in their respective way. The airport will be, and necessarily with 2011 largely spent in discussing areas. Umbulan has gone quiet! so, larger than Soekarno-Hatta, which the basic organizational changes. is already handling some 80% of The first draft new organization Scott Younger is the president commis- passengers above design capacity. plan was recently tabled for detailed sioner of Glendale Partners and Nusan-

When looking at other very large discussion and negotiation between the tara Infrastructure. Yud h i sukm a wij aya

114 GlobeAsia March 2012