Inland waterway link to Tanjung Priok could construction approval by mid-year

Indonesia continues to make progress, albeit convoluted, towards getting its logistics infrastructure into shape, with local media reporting that approvals to build a canal linking industrial areas to the main Tanjung Priok Port could be given by mid-year.

The reports cited Pelindo II’s operations and information system director Prasetyadi as saying the government is in the process of preparing a presidential regulation on the construction of inland waterways connecting Cikarang, Bekasi and Java Sea (CBL).

The channels will link Indonesia's busiest port, Tanjung Priok in Jakarta, with hinterland area of Bekasi, West Java, where there are major industries, through a river-canal route.

"I hope it can be [issued] soon, at least in the first semester," Prasetyadi said.

The project, included in the list of strategic national projects, is estimated to cost IDR3.4trn ($255.6m) and is expected to bring down logistics costs by 20% to 25%. It is expected to be completed by 2019.

However, the issuance of the presidential regulation is key to securing Pelindo II’s role in the project. The state-owned port operator had previously applied for permits from the Public Works and Public Housing Ministry to use the waterway while also trying to clear environmental impact assessments from the Environment and Forestry Ministry.

Posted 19 April 2017

© Copyright 2019 Seatrade (UBM (UK) Ltd). Replication or redistribution in whole or in part is expressly prohibited without the prior written consent of Seatrade.

Vincent Wee

Asia Editor, Seatrade Maritime News

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