PT Astratel allocates $228m for telecom project<\/p>\n
JAKARTA (JP): PT Astratel Nusantara, a subsidiary of the Astra
\nInternational group, has allocated US$228 million for its equity
\ncapital in a project to install 516,000 fixed-telephone lines,
\nworth $570 million, in Sumatra within the next four years.<\/p>\n
The company's president, Thomas B. Subijanto, told reporters
\nyesterday that the project would be implemented by his company
\nand three other parties which recently won a 15-year joint-
\noperation contract for installing and operating telephone lines
\nin Sumatra.<\/p>\n
He cited a government ruling which requires each winner of the
\njoint-operation contract to put up an equity of at least 40
\npercent of the total investment of the project.<\/p>\n
\"The project will start in January. In the meantime, we are
\nnow completing the legal aspects of incorporating PT Pramindo
\nIkat Nusantara, the joint venture which will implement and manage
\nthe project.<\/p>\n
The joint venture will consist of Astratel; France Cable et
\nRadio (FCR), a subsidiary of France Telecom; and the cooperative
\nof the employees of the ministry of tourism, post and
\ntelecommunications and PT Intertel Pratama Media.<\/p>\n
Pramindo will be 60 percent owned by Astratel, 35 percent by
\nFCR and five percent by the cooperative and Intertel.<\/p>\n
Pramindo Ikat is one of the winners of five joint-operation
\ncontracts for the installation and operation of telephone lines
\nin various provinces for the next 15 years.<\/p>\n
The other winning consortia, which were announced in June, are
\nTiga-A, for the West Java region; the Mitra Global Telekomunikasi
\nIndonesia consortium, for Central Java; Daya Mitra Malindo, for
\nKalimantan; and Bukaka Singtel, for the eastern Indonesian
\nregion.<\/p>\n
The five projects are part of the government's program to
\ninstall five million telephone lines within the current Sixth
\nFive-Year Development Program (Repelita VI), two million of which
\nwill be developed by private firms.<\/p>\n
Other projects<\/p>\n
Thomas added that his company, set up in 1992, is dealing with
\nthree major infrastructure projects in telecommunications,
\ntransportation and electricity.<\/p>\n
\"In cooperation with state-owned PT Telkom, we will issue a
\nmodified telephone card, which is similar to the smart card. We
\nare now in the final stage of negotiations,\" he said.<\/p>\n
He said that in the transportation field, Astratel is
\ncurrently participating in the tenders for toll road development
\nprojects of state-owned PT Jasa Marga.<\/p>\n
\"We have been qualified to bid for the Pandaan-Malang toll
\nroad (East Java) and the Cirebon-Tegal toll road (West Java)
\nprojects,\" Thomas said.<\/p>\n
He said that there were 16 bidders for the 30-kilometer
\nPandaan-Malang toll road project and 15 bidders for the 43-
\nkilometer Cirebon-Tegal toll road project.<\/p>\n
The government has invited private firms to bid in 19 toll
\nroad projects, covering about 770 kilometers, in Java and Sumatra
\nworth about Rp 7.7 trillion (U.S.$3.4 billion). The tenders are
\nscheduled to close by the end of this year.<\/p>\n
Astratel's director, Arief Istanto, said that the company will
\nalso develop a gas power plant in Prabumulih, a village in the
\neastern part of Palembang of South Sumatra.<\/p>\n
\"We expect to start construction next March next, and the
\nproject is slated to be completed in 1997.<\/p>\n
The power project will be designed with an installed capacity
\nof 390 (3 times 130) megawatts. Astratel will sell the
\nelectricity, at 6.2 U.S. cent per kWh, to the State Electricity
\nCompany.(icn)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/pt-astratel-allocates-228m-for-telecom-project-1447893297",
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"sponsor": "Okusi Associates",
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