German firm eyes new Lombok airport

German firm eyes new Lombok airport

JAKARTA (JP): A German consortium wants to get involved in
developing a new airport in Lombok, West Nusa Tenggara, which was
previously eyed by a Singapore-based consortium.

Informed sources said yesterday that the consortium, Gagi,
would sign a preliminary accord with PT Angkasa Pura I, a state-
owned airport management company, next month during an official
visit here by German Chancellor Helmut Kohl from Oct. 26 to Oct.
29.

Minister of Transportation Haryanto Dhanutirto refused to
comment on the accord.

"I won't give any information on any deal which is still under
discussion, or I will be blamed for cheating," he told reporters
after inaugurating Angkasa Pura I's new headquarters in
Kemayoran, Central Jakarta.

The government announced early last year that a number of
airports would be expanded with help from foreign companies.

The multi-million dollar projects include enlarging the Juanda
airport in Surabaya, East Java, the Hasanuddin airport in
Ujungpandang, South Sulawesi, and the Ngurah Rai airport in
Denpasar, Bali.

They also include the construction of a new airport in Central
Lombok, estimated to cost $150 million.

Under a two-year-old tourism and aviation agreement between
Singapore and Indonesia, Singapore had said it was interested in
helping develop the new airport to replace the Selaparang airport
in Lombok.

Sources said the deal with Singapore had not got off the
ground.

Minister Haryanto said yesterday that Angkasa Pura I was
expected to sign accords before the year's end with Brecknell of
Canada and the British Airport Authority, which intend to
participate in the Juanda airport project and the Ngurah Rai
airport project, respectively.

Fachri Zainuddin, president of PT Angkasa Pura I, said
yesterday the two airport projects would involve new terminal
buildings, car parks and shopping centers. No new runways or
hangers would be built.

"Under the planned 30-year joint operation agreements, the
foreign partners are required to provide for profit increases of
at least 5 percent a year from related businesses."

He said that Angkasa Pura I, which manages 13 airports, made a
Rp 73.5 billion ($31.35 million) profit in 1995 and expected to
make Rp 80 billion this year. (icn)