Indonesian policy initiatives to cut dwelling time at ports could see more privatisation

More impetus has been given to efforts to cut down dwelling time in Indonesian ports, with the government planning to roll out another policy package later this month that will address the problem, local reports said.

"This month we will prepare and release the 15th policy package which will be about logistics and the practice of single data and information submission through the Indonesia National Single Window portal (INSW)," Coordinating Minister for Economic Affairs Darmin Nasution said.

Meanwhile Coordinating Minister for Maritime Affairs Luhut Binsar Panjaitan has increased the pressure further on port operators, making several recommendations to cut dwelling time and suggesting that private operators be brought in if state-owned port operator Pelindo cannot cope.

These measures include using additional cranes, better operations and creating dry ports for better intermodal connectivity by road or rail.

"If Pelindo is struggling with it then ask a private party to be more transparent," Luhut said. "We can't afford to be late because dwelling time is expensive, and we need to (cut costs)."

The new policy package is part of a series of packages the Indonesian government has released since September 2015.

Posted 06 January 2017

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Vincent Wee

Hong Kong and SE Asia Correspondent, Seatrade Maritime News

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