President Jokowi asks Pelindo II to speed up capacity increase

"It should be completed as soon as possible," President Jokowi said.
Jakarta (ANTARA News) - The Indonesian Port Corporation (IPC) or Pelindo II, has been asked by President Joko Widodo (Jokowi) to speed up efforts to increase port capacity.

"It should be completed as soon as possible," President Jokowi said, while inaugurating the operation of New Priok Container Terminal One (NPCT1) or Kalibaru container terminal at Tanjung Priok Main Seaport, North Jakarta, here, Tuesday.

"The work must be done in 2-3 shifts, and not one shift. Alhamdulillah (Thank God), the first one is completed," the president added.

The head of state ordered the IPC to complete the construction of the second and third NPCT, as well as two product terminals, by 2019.

"If Pelindo II does not have adequate funds, it should invite investors," he said.

Indonesia must increase its competitiveness, like countries, by developing facilities using innovation, he said.

The event was attended by, among others, Co-ordinating Minister for Maritime Affairs Luhut Binsar Pandjaitan, Co-ordinating Minister for Political, Legal and Security Affairs Wiranto, Transportation Minister Budi Karya and Maritime Affairs and Fisheries Minister Susi Pudjiastuti.

Since the construction of the terminal started in 2012, Jokowi has personally checked its progress twice.

The reduction of dwelling time in every Indonesian seaport was ordered two years ago to be around two days, the President said.

"Two years ago, it was 6-7 days. Just now I asked the Pelindo II President Director and was told it is now 3.2 days here.

"The Transportation Minister (said) 3.7 (days). I asked for 2 point something (days). It must not stop in 3 (days). I asked for (dwelling time in) Belawan and Perak (seaports) be cut," he said.

Currently the dwelling time in Belawan port is 7-8 days, while, in fact, it has eight cranes.

Jokowi said he has ordered the National Police Chief to investigate possible illegal levies at the seaport located in North Sumatra.

The government has intensified the implementation of infrastructure development to reduce logistic and transportation costs, which is 2.5 times higher compared with other countries, due to illegal levies and prolonged processes.

Indonesia must not delay construction of modern seaports in order to improve its competitiveness.

"Congratulations for the completion of the first terminal construction. I order integrated operation, dwelling time reduction and eradication of illegal levies," Jokowi said.

President Director of Pelindo II Elvyn G M said the current capacity of container terminals in Tanjung Priok Seaport is seven million TEUs per year.

"It is expected that, by 2019, with the completion of the container terminals I, II, III and product terminals IV and VI, the total capacity will increase to 11.5 million TEUs," Elvyn said.(*)