Pelindo II seeks presidential decree to speed up Sorong Port
Pelindo II, is requesting a presidential decree to speed up construction of the planned Sorong Port in West Papua, which has stalled because of land acquisition problems, Seatrade Asia online reports.
President director Richard Lino was quoted as saying Pelindo II and the Sorong regency government had already sent a request to Indonesian President Susilo Bambang Yudhoyono highlighting the urgency of rapid construction in cutting logistics costs in the eastern regions of Indonesia. It is expected to cut logistic costs in the region by up to 50%.
Construction was due to begin in the fourth quarter but has been stalled. If the presidential decree is issued in the first quarter of 2013 construction could get underway immediately and be completed by end-2014, according to Lino. Initial capacity for the first phase is 500,000 teu and Pelindo II has committed to spending IDR1.1trn ($114.4m) on the port.
The port will be built on a 7,500-hectare plot of land, leaving the possibility for future expansion. In the first phase, the port will have a total capacity of 500,000 teu.