Indonesian Political, Business & Finance News

Jakarta to build commercial port in Ancol

| Source: JP
Jakarta to build commercial port in Ancol

Damar Harsanto, Jakarta

Following the high-budget monorail, Jakarta will soon construct a
multipurpose commercial port, projected to cost US$500 million,
in East Ancol, North Jakarta, as part of a controversial
waterfront project.

"The new port will support the operation of overcrowded
Tanjung Priok harbor as it can shorten the docking time of
incoming vessels and provide low-cost loading and unloading
services," said Governor Sutiyoso while officiating the
groundbreaking ceremony of the project at the Bahtera Jaya water
sports stadium.

The Jakarta New Port is considered of paramount importance to
compete with other Southeast Asian countries that have been part
of the ASEAN Free Trade Area since 2003.

"Please bear in mind that Jakarta, as the archipelagic state
capital, should have a representative port for warships to dock,"
Sutiyoso added.

The commercial port would share its 15 berths with warships
and patrol vessels of the Indonesian Navy's Western Fleet.

Fleet Commander First Admiral Moeklas Sidik said the force
operated at least 30 patrol vessels in the western part of the
country's waters on a daily basis.

"Within five years, we shall upgrade the fleet to about 140
ships," Moeklas said.

Local developer PT Marindo Bahtera Development revealed the
project would be completed within six years, in five phases of
construction. The project will apply Japanese technology to
dredge some 486 hectares from the sea bed and reclaim 242
hectares of the coastline.

The location is in part of Jakarta Bay where thousands of fish
and clams died in recent months, which, experts believe, was
caused by either unprocessed, toxic industrial waste or household
waste dumped into the sea.

Assistant to the PT Marindo board of directors Soebagio Oetomo
told the media that the port would be equipped with a car
terminal, multipurpose terminal, offices and business/shipping
center.

It would also accommodate transiting tourist boats.

Soebagio boasted that the sophisticated port could complete
the loading and uploading process or a ship within a maximum of
12 hours, much quicker than the week needed at Tanjung Priok
port.

"We can profit from the shortened docking time," Soebagio
said, adding that the port would be capable of accommodating 15,
300-meter-long vessels at once.

Meanwhile, Indonesian National Shipowners Association chairman
Oentoro Surya welcomed the construction of the new port.

"With the new port, we can carry out our export and import
activities here, instead of doing so in other countries, thereby
minimizing our costs," Oentoro said.

The waterfront project, which includes the reclamation of
around 2,700 hectares of Jakarta Bay, aims at developing a port,
seaside houses and marina, hotels, condominiums, an industrial
zone, business centers, massive shopping malls, offices and
recreation places.

The project has been strongly opposed by environmentalists,
including State Minister of the Environment Nabiel Makarim, amid
concern that the project would cause an adverse impact to the
ecosystem of the north coast and Jakarta Bay, besides increasing
the likelihood of flooding.
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