Mon, 11 Apr 1994

Indosat constructing third earth station on Batam

JAKARTA (JP): International data telecommunications to and from the island of Batam and its surrounding areas in Riau province will soon be upgraded when PT Indosat finishes the construction of its third earth station at Bukit Matakucing in the eastern part of the island.

"The construction of the earth station, which costs about Rp 16 billion (US$7.45 million), will be completed at the end of this year," Indosat's president, Tjahjono Soerjodibroto, told reporters after signing an agreement to support cooperatives within the Association of Retired Military Officers (Pepabri) in a ceremony here Saturday.

He said the station will support high-speed international data telecommunications.

"We are sure that there will soon be a soaring expansion of multinational companies in Batam as the island rapidly develops into an industrial area," he said, adding that many enterprises have applied for access to the data system.

Tjahjono believed that Batam will be more appealing to businessmen if various facilities are improved to smooth their commercial affairs.

So far, Batam and neighboring Bintan island are being developed as sites for the pilot project of the latest technology of the global system for mobile telecommunications. The project, worth Rp 10 billion ($4.69 million), will offer 3,000 lines in the first phase, which will be increased to 10,000 lines in the future.

Indosat, the state-owned international telecommunications service company and the country's first company that will offer shares internationally, has established an earth station in Jatiluhur, West Java, and is constructing another one in Pantai Cermin, North Sumatra.

The station in Jatiluhur was constructed in 1967 while the Pantai Cermin one is being built by NEC of Japan with an investment of about Rp 12 billion ($5.63 million) to bolster the infrastructure of telecommunications networks in the Indonesia- Malaysia-Thailand growth triangle.

Tjahjono also said that his company is still discussing a project with members of other Asian countries to introduce direct telecommunications services for passengers from airplanes to ground receivers without utilizing satellites.

"This is a complicated project and feasibility studies are still underway. We have to consider technology and security aspects of the planned service," he said.

Assistance

Under the agreement signed yesterday by Tjahjono, Pepabri's chairman Soesilo Soedarman, chairman of the Confederation of Pepabri's Cooperatives (Inkopabri) Sri Muljono Herlambang and Telkom's finance director Muljohardjoko, Indosat will extend some Rp 80 million in assistance to nine cooperatives, while Telkom will extend some Rp 95 million to assist 14 cooperatives of Inkopabri.

Tjahjono said Indosat will also provide management assistance for the cooperatives within two years.

Soesilo, who is also Coordinating Minister for Political Affairs and Security, said that Rp 57 million out of the financial assistance will be given to cooperatives in Sukabumi, West Java. (icn)