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Government to reorganize container port management

Government to reorganize container port management

JAKARTA (JP): The government will introduce next month new management and coordination at the Tanjung Priok container port, to avoid potential congestion at the terminal, Minister of Transportation Haryanto Dhanutirto said.

"For a three-month trial period, starting on May 1, the state- owned port management firm, PT Pelabuhan Indonesia (Pelindo) II, will be designated as the only party authorized to manage the container terminal," Haryanto told reporters, after speaking at a British-Indonesia maritime seminar at his office yesterday.

He said that based on a presidential decree regulating container terminal operations, Pelindo II and the office of the port administrator have been charged with managing the terminal's operations.

"But the relationship between the two parties is not very harmonious at the moment. They blame each other for the existing problems and this, in turn, causes inefficiency," he said.

He said that after the three-month trial operation, he will consult with the State Secretary, the Coordinating Minister for Economy and Finance and the Coordinating Minister for Industry and Trade on follow-up measures to be taken.

"We will then propose a reorganization to President Soeharto," Haryanto said.

Based on Presidential Decree No. 4/ 1985, the port administrator is assigned to facilitate smooth cargo flow, though Pelindo is still operating as the only entity in charge of managing the port, including its container and passenger terminals.

In the container terminal, Pelindo principally acts as the manager, handling shipping, loading and unloading devices, berths as well as financial and other related affairs.

The port administrator acts as the supervisor, overseeing the flow of the cargo and other aspects of port operations.

"It's not right if longshoremen at the terminal are managed by the port administrator, while Pelindo manages the loading and unloading businesses," Haryanto said.

The port administrator will be assigned mainly as the supervisor and coordinator of the services of all other government agencies related to the port operations, he added.

The minister also said yesterday that to improve cargo handling at the Tanjung Priok container terminal, the government has ordered three additional cranes from Europe, which will be delivered next month.

"But I don't think there has been any congestion at the port, as many have complained about. In fact, only 70 percent of the terminal's capacity has so far been used," Haryanto said.

"But congestion will occur if we don't do anything," he said, referring to the third container terminal being built at the Tanjung Priok port.

The new US$495 million terminal, developed by Pelindo II and the Humpuss Group, will be able to accommodate about 1.2 million containers of the 20 feet equivalent. (icn)

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