Sabang may be turned into petro center

JAKARTA (JP): The Agency for Assessment and Application of Technology (BPPT) and the Aceh provincial administration are examining the possibility of developing a petrochemical center in Sabang, north Sumatra.

BPPT Deputy Head for Natural Resources Development Indroyono Soesilo said yesterday establishing the petrochemical center in Sabang would be part of the government's program to develop the town as a gateway of the Indonesia-Malaysia-Thailand Growth Triangle.

The subregional economic cooperation covers several provinces in Sumatra, western parts of Malaysia and the southern part of Thailand.

Indroyono said Sabang, part of Aceh province, was suitable for the development of a petrochemical center due to its closeness to petrochemical feedstock producers and petrochemical markets.

Sabang is close to the Arun liquefied natural gas (LNG) plant, also located in Aceh, and it is the closest port in Indonesia to the oil-producing Arab countries.

Aside from the petrochemical industry, BPPT would also examine plans to develop other industries in the area, including tourism and marine fishery, Indroyono said.

He said in line with the assessment, BPPT and the Aceh Administration would organize a two-day science and technology seminar titled "Science and Technology to Support the Development of and the Realization of Sabang Municipality's Potential" from Sept. 23 to Sept. 24 in Sabang.

Scheduled to be opened by BPPT's chairman/State Minister for Research and Technology B.J. Habibie, the seminar will be attended by 500 participants, including those from marine-related industries.

It will also discuss strategies to develop Sabang.

Sabang has a population of 26,000 people, mostly living on fishery and agriculture. Its tourist industry, centered in Iboh and Gapang districts, sees about 30 foreign tourists each day, mostly from Europe.

The area's economy kept dwindling after the government revoked its "free port" status in 1985. (jsk)