Indonesia Economy Forum

[Nike]

Private parties invited to develop railways with government
Sabtu, 21 Juli 2018 13:32 WIB - 0 Views

Reporter: .

a railway coach being loaded to a ship . ANTARA FOTO/Zabur Karuru/ama/16

Jakarta (ANTARA News) - The government has invited private parties to develop railways together as the most required means of mass transportation in Indonesia, according to Transportation Minister Budi Karya Sumadi.

"Numerous foreign and national banks have an interest to finance the railways sector, and this shows that rail transportation is very profitable," the minister informed newsmen after opening the Indonesian Railway Society National Work Meeting here on Saturday.

The transportation minister remarked that the development of rail infrastructure needed major funding and absorbed a significant amount of state budget, so a better solution is needed for development.

He said the government remained consistent in continuing to develop an effective mass transportation system, and rail transportation is considered a solution.

"In the long term, the railways will become an appropriate means of mass transportation to reduce road traffic density," Sumadi noted.

The minister pointed out that private parties from Japan have expressed high interest to be involved in the development of a high-speed train network connecting Jakarta and Surabaya.

Despite involving foreign private parties in the development of the high-speed train network, the minister remarked that the government is keen on the use of local content in the development of the train network.

"Similarly, in the process of development, the government wants to involve several local workers," the minister of transportation stated.

Sumadi noted that the rail development work offered to private parties is not only centered in Java Island and for human transportation only but also offered outside Java and for logistics transportation.
Reporting by Ahmad Wijaya
(O001/INE)
(T.SYS/B/KR-BSR/O001) 21-07-2018 12:43:10
Editor: Fardah Assegaf

COPYRIGHT © ANTARA 2018

 

[Nike]

Jonan Targetkan Kapasitas Listrik RI 80.000 MW Tahun Depan
Ardan Adhi Chandra - detikFinance

Menteri Energi dan Sumber Daya Mineral (ESDM) Ignasius Jonan/Foto: Lamhot Aritonang
Jakarta - Menteri Energi dan Sumber Daya Mineral (ESDM) Ignasius Jonan mengungkapkan bahwa status draftRencana Umum Ketenagalistrikan Nasional (RUKN) 2018-2037 saat ini menunggu jadwal konsultasi dengan DPR untuk pembahasannya. Draft RUKN 2018-2037 tersebut, menurut Jonan, berisi empat poin yang sangat substantif.

Pertama, mengenai kebijakan ketenagalistrikan nasional, dimana arahnya adalah jumlah listrik yang mencukupi bagi masyarakat. Selain itu, kualitasnya juga harus baik dan memiliki harga yang terjangkau.

"Jadi affordability ini menjadi sangat penting, karena kalau ada listriknya tapi rakyat tidak mampu beli akan sia-sia, karena tujuannya itu adalah tenaga listrik untuk rakyat," kata Jonan dalam keterangannya, Jakarta, Sabtu (21/7/2018).

Baca juga: Tagihan Listrik Jonan Turun Tajam, Ada Apa Gerangan?

Kebijakan ketenagalistrikan, imbuh Jonan, merujuk ke beberapa aspek, yaitu tentang ekonomi makro, rasio elektrifikasi, pertumbuhan penduduk, dan focus group discussion (FGD) dengan Kementerian/Lembaga terkait, Pemerintah Provinsi dan badan usaha, serta Dewan Energi Nasional (DEN).

"Mengenai ekonomi makro, tahun 2018 pertumbuhan ekonomi mengacu kepada APBN 2018, sedangkan tahun 2019-2037 mengacu kepada visi ekonomi Indonesia dari Bappenas," ujar Jonan.

Kedua adalah mengenai rencana pengembangan penyediaan tenaga listrik. Pemerintah akan mendorong pemerintah daerah untuk membuat perencanaan pengadaan pembangkit listrik yang sesuai dengan potensi daerahnya masing-masing.

"Perencanaan pengadaan pembangkit listrik daerah bertujuan untuk memenuhi target ketahanan energi nasional. Implikasinya adalah untuk mengurangi ketergantungan terhadap impor energi," jelas Jonan.

Baca juga: Jonan Minta Pembangkit Listrik PLN Pakai Minyak Sawit

Selanjutnya adalah kondisi penyediaan tenaga listrik saat ini. Jonan menjabarkan pada tahun 2019 target kapasitas listrik terpasang secara nasional sekitar 75.000-80.000 megawatt (MW), di mana kapasitas sekarang sebesar 62.000-63.000 MW. Bahkan, proyeksi penambahan kapasitas listrik hingga tahun 2024-2025 sekitar 40.000-42.000 MW dengan tidak hanya mengandalkan energi fosil saja.

"Kita tetap mempertahankan komitmen bersama terhadap pengendalian perubahan iklim, yaitu 23% bauran energi, mudah-mudahan bisa tercapai di tahun 2025," ujarnya.

Kemudian yang terakhir adalah mengenai proyeksi kebutuhan tenaga listrik. Menurutnya, proyeksi kebutuhan tenaga listrik dapat dihitung melalui dua jenis pendekatan, yaitu melalui pertumbuhan penduduk, yang fokusnya adalah pembangunan jaringan transmisi dan distribusi kelistrikan. Pendekatan lainnya adalah melalui pertumbuhan gross domestic product (GDP).

"Secara garis besar, jika menggunakan pertumbuhan GDP, biasanya kebutuhan listrik nasional adalah sekitar 1,5 kali dari pertumbuhan GDP-nya," pungkas Jonan.

(ara/ang)

 

[Nike]

MONDAY, 23 JULY, 2018 | 18:28 WIB
Lion Air Opens Denpasar-Tianjin Route

TEMPO.CO, Jakarta – Indonesia's largest private airline Lion Air is expanding its business by introducing a new flight route available five times a week from Bali’s Ngurah Rai airport to China’s Binhai Tianjin International Airport.

Lion Air corporate communications strategic Danang M. Prihantoro said the initial flights from Denpasar to Tianjin would be available every Monday, Wednesday, Thursday, Friday, and Sunday. Meanwhile, flights from Tianjin to Denpasar will be on every Monday, Tuesday, Thursday, Friday, and Saturday.

Read: Lion Air Proposes to Open 68 New Routes

“The success in introducing this international route makes us the first and only airline that facilitates a non-stop round-trip flight from Bali to Tianjin,” said Danang on Monday, July 23.





Lion Air is set to mobilize its Boeing 737-900ER (215 economy class seats), Boeing 737-800NG (189 economy class seats), and the Boeing 737 MAX 8 (189 economy class seats).

Lion Air’s chartered flight from Denpasar, Bali, to Tianjin, China, was introduced at the end of last week using a Boeing 737 MAX 8 unit that departed from Ngurah Rai Airport at 16:35 Indonesia Central Time (WITA) and landed in Tianjin on 00:22 local time.

https://en.tempo.co/read/news/2018/07/23/056920189/Lion-Air-Opens-Denpasar-Tianjin-Route

 

[Nike]

China invests US$2.54 billion in steel plant in Central Java
Rabu, 25 Juli 2018 09:37 WIB - 0 Views

Reporter: Antara

Beijing, China (ANTARA News) - China-based steel company Hebel Bishi Steel Group has invested US$2.54 billion in Central Java Province, Indonesia, to build a steel plant to have a production capacity of three million tons.

"That will be the first phase of investment in Kendal (Central Java)," Deputy Governor of Central Java Heru Sudjatmoko was quoted as saying by Antara correspondent in Beijing, on Tuesday night.

Apart from the steel plant, the investment fund would also be used to set up a coking coal plant with 2.4 million ton capacity, power plant with 270 megawatt capacity, and port`s support facility with 100 DWT capacity.

Hebel Bishi Steel Group has partnered with Indonesia`s PT Seafer Kawasan Industry in investing their fund in Central Java.

"Central Java is one of backbones of Indonesia`s economy. So, when Chinese business wants to invest, we are ready to assist until it is done," Sudjatmoko noted.

He added that the Central Java government had promised the Chinese business sector to ease investment permit procurement.

"The success of investors is our success. The success of infrastructure development will benefit the community as well," he remarked.

Director of Hebei Industry Group Deng Ji expressed his willingness to make their investment into real soon in Seafer Kendal industry complex in Kendal, Central Java.

"We have signed the agreement, and we want to make it real soon, even if it is possible we would like to invest more in Central Java," he noted.

Deng Ji remarked that Hebei`s investment in Central Java is one of pilot projects of Chinese "One Belt One Road" initiative in Indonesia.

From his Indonesian counterpart, President Director of PT Seafer Kawasan Industry Harry W Sudarwo, claimed that he had allocated a 700-hectare land for the investment project.

"The land had been prepared and permit is already in our hand," Sudarwo said.

The signing of agreement between Hebei Bishi Industry and PT Seafer Kawasan Industri took place in Beidahe, Hebei Province, on Monday, and witnessed by Indonesian Ambassador to China Djauhari Oratmangun, Deputy Governor of Central Java Heru Sudjatmoko, and head of Kendal District.
Reporting by Irfan Ilmie
(T.A060/A/A060/F001) 25-07-2018 08:36:12
Editor: Fardah Assegaf

COPYRIGHT © ANTARA 2018

 

[Logam42]

Indonesia's Rank in the Logistics Performance Index Improves
26 July 2018 | https://www.indonesia-investments.c...logistics-performance-index-improves/item8913

• Customs Indonesia
• Logistics Performance Index
• Logistics Costs
• World Bank
• Infrastructure

Indonesia managed to rise sharply in the ranks of the World Bank's latest Logistics Performance Index (LPI). In the 2018 edition, which was released on Tuesday (24/07), Indonesia ranked 46th, up from 63rd in the preceding edition (released in 2016).

Based on a worldwide survey of global freight forwarders and express carriers, the World Bank's Logistics Performance Index (LPI) is a benchmarking tool developed by the Washington-based institution that measures performance along the logistics supply chain within a country. Allowing for comparisons across 167 countries, the index can help countries identify challenges and opportunities and improve their logistics performance. The World Bank conducts the survey every two years.

The LPI is based on six indicators namely:

• Customs; the efficiency of the clearance process (including speed, simplicity, and predictability of formalities)
• Infrastructure; the quality of trade and transport related infrastructure (including ports, roads, railroads, and IT)
• International Shipments; the ease of arranging competitively priced shipments
• Logistics Competence; the competence and quality of logistics services (including transport operators and customs brokers)
• Tracking & Tracing; the ability to track and trace consignments
• Timeliness; the timeliness of shipments in reaching destination within the scheduled or expected delivery time

It is interesting to note that Indonesia made significant progress in all six indicators. This performance is in line with the Indonesian government's push for infrastructure development and other related matters, such as the improvement of dwell time in Indonesian ports (which has now fallen below four days).

-----------------------------------------------------

• Indonesia Investments' Research Report (edition July 2018) will be out on Monday 6 August 2018

-----------------------------------------------------

However, if we compare the ranking and score of Indonesia to other lower-middle income economies in Asia, then there is no room for complacency. Indonesia still ranks below Malaysia, Thailand, India and Vietnam (in fact Vietnam overtook Indonesia in the latest LPI). This is a problem because weak connectivity causes relatively high logistics costs, thus implying that Indonesian products and services are not as competitive compared to its regional counterparts.

Ranking of ASEAN Countries in the Logistics Performance Index:

Source: World Bank


Indonesia's Performance in the LPI per Indicator:

Source: World Bank
______________________________________________

Poster's Notes:
Did some digging, adding in additional analysis

This show's a diagram of the underperformers and overperformers of the LPI based on their score relative to the average score of nations of similar GDP per capita (So how good is the score compared to the nation's average income).

As you can see, Indonesia is a clear overperformer. Also apparent, is that there are many overperformers in our region.

Despite putting a heavy emphasis on logistics improvement, we are still being outperformed by nations such as Thailand, Vietnam, China, and India (India is ranked 2 higher, at 44th).

Judging from ranks between 2014- 2018 of ASEAN + China & India

Indonesia is seeing fastest improvement. Barely.

While current achievements must be acknowledged, our competition is well aware of the importance of logistics as well and are racing us.

 

[trishna_amṛta]

Indonesia is seeing fastest improvement. Barely.

While current achievements must be acknowledged, our competition is well aware of the importance of logistics as well and are racing us.

The primary problem is not just the infrastructure but also the human resources aspect. IMO infrastructure is the easy part, as long we have the money we can always build something, however the human resources aspect is the most difficult (mentality & competency). And so far whenever someone mention about Indonesia human resources quality all I heard is always something about "certification". The problem is you can always "buy" all kind of certification these days.

 

[Logam42]

The primary problem is not just the infrastructure but also the human resources aspect. IMO infrastructure is the easy part, as long we have the money we can always build something, however the human resources aspect is the most difficult (mentality & competency). And so far whenever someone mention about Indonesia human resources quality all I heard is always something about "certification". The problem is you can always "buy" all kind of certification these days.

While Human Resources is also something we need to work on, I think you are belittling Indonesia's current efforts if you say "Infrastructure is the easy part". The amount of political hurdles and loops our current administration has had to jump though just to finance and enact the infrastructure acceleration program should be appreciated. It wasn't easy.

Even today there are short-sighted but popular figures who say "The Gov is selling our airports!", "They are building useless infrastructure!", "These Billion-Dollar Projects are just Image Building!!!" or some mixture of those claims or another.

Hell, even infrastructure that can be built, political enemies at times would prefer it to fall apart just to make a point. For example, Sandiaga Uno, the capital province vice-governor stating "Maintaining a child's park is just too damn hard."

It was a park in the middle of the most productive city in the nation.

"As long as we have the money (and the will) we can always build something." Is much more easily said than done Trishna. Just because it has been done doesn't make it easy either.

That said, I do agree that Education is the next great hurdle we need to confront.

 

[trishna_amṛta]

Hell, even infrastructure that can be built, political enemies at times would prefer it to fall apart just to make a point. For example, Sandiaga Uno, the capital province vice-governor stating "Maintaining a child's park is just too damn hard."

It was a park in the middle of the most productive city in the nation.

"As long as we have the money (and the will) we can always build something." Is much more easily said than done Trishna. Just because it has been done doesn't make it easy either.

That said, I do agree that Education is the next great hurdle we need to confront.

By "easy" I meant easier compare to fixing / repairing our human resources aspect.

I always stress out on the human aspect (mentality) because I observed firsthand from industrial perspective the output quality of Indonesia education system which since about 20 years ago (post reformasi) were declining, and also how easy Indonesia public being swayed by bogus / hoax news. For example, about ¾ of my social circle consist of peoples with post-graduate degree or doctorate , and nearly half of them were alumnus from Australia, Singapore, Europe, or USA, and yet nearly everyday I've always see one of them posting / sharing hoax / bogus story, etc.

That is why I believe that the solution need to focus on the mentality aspect that run parallel with infrastructure development, because the world is currently on the verge of Industrial Revolution 4.0 and without sufficient investment in human capital we will be knock out as a nation back to pre-industrial age.

 

[Nilgiri]

Hello my Indonesian friends, your trains and stations are looking good!

@Marine Rouge @pr1v4t33r

Indonesia's Rank in the Logistics Performance Index Improves
26 July 2018 | https://www.indonesia-investments.c...logistics-performance-index-improves/item8913

• Customs Indonesia
• Logistics Performance Index
• Logistics Costs
• World Bank
• Infrastructure

Indonesia managed to rise sharply in the ranks of the World Bank's latest Logistics Performance Index (LPI). In the 2018 edition, which was released on Tuesday (24/07), Indonesia ranked 46th, up from 63rd in the preceding edition (released in 2016).

Based on a worldwide survey of global freight forwarders and express carriers, the World Bank's Logistics Performance Index (LPI) is a benchmarking tool developed by the Washington-based institution that measures performance along the logistics supply chain within a country. Allowing for comparisons across 167 countries, the index can help countries identify challenges and opportunities and improve their logistics performance. The World Bank conducts the survey every two years.

The LPI is based on six indicators namely:

• Customs; the efficiency of the clearance process (including speed, simplicity, and predictability of formalities)
• Infrastructure; the quality of trade and transport related infrastructure (including ports, roads, railroads, and IT)
• International Shipments; the ease of arranging competitively priced shipments
• Logistics Competence; the competence and quality of logistics services (including transport operators and customs brokers)
• Tracking & Tracing; the ability to track and trace consignments
• Timeliness; the timeliness of shipments in reaching destination within the scheduled or expected delivery time

It is interesting to note that Indonesia made significant progress in all six indicators. This performance is in line with the Indonesian government's push for infrastructure development and other related matters, such as the improvement of dwell time in Indonesian ports (which has now fallen below four days).

-----------------------------------------------------

• Indonesia Investments' Research Report (edition July 2018) will be out on Monday 6 August 2018

-----------------------------------------------------

However, if we compare the ranking and score of Indonesia to other lower-middle income economies in Asia, then there is no room for complacency. Indonesia still ranks below Malaysia, Thailand, India and Vietnam (in fact Vietnam overtook Indonesia in the latest LPI). This is a problem because weak connectivity causes relatively high logistics costs, thus implying that Indonesian products and services are not as competitive compared to its regional counterparts.

Ranking of ASEAN Countries in the Logistics Performance Index:

View attachment 488564
Source: World Bank


Indonesia's Performance in the LPI per Indicator:

View attachment 488565
Source: World Bank
______________________________________________

Poster's Notes:
Did some digging, adding in additional analysis
View attachment 488563

This show's a diagram of the underperformers and overperformers of the LPI based on their score relative to the average score of nations of similar GDP per capita (So how good is the score compared to the nation's average income).

As you can see, Indonesia is a clear overperformer. Also apparent, is that there are many overperformers in our region.

Despite putting a heavy emphasis on logistics improvement, we are still being outperformed by nations such as Thailand, Vietnam, China, and India (India is ranked 2 higher, at 44th).

Judging from ranks between 2014- 2018 of ASEAN + China & India
View attachment 488566

Indonesia is seeing fastest improvement. Barely.

While current achievements must be acknowledged, our competition is well aware of the importance of logistics as well and are racing us.

This is good to see! Wish all the best to Indonesia!

 

[trishna_amṛta]

Hello my Indonesian friends, your trains and stations are looking good!

Have you just gone to Indonesia or something? Was that your video?
Despite the "Executive Class" branding, that train has become pretty standard these days. If you wan't good Indonesia railway you should try this (although I personally consider it sub-par quality)

https://defence.pk/pdf/threads/indonesia-economy-forum.198270/page-187#post-10553931

While current achievements must be acknowledged, our competition is well aware of the importance of logistics as well and are racing us.

Did you know that "the competitors" as in business interest & NGO's from neighbouring states (Malaysia, Singapore, Australia) has been busy spreading all kind of black campaign and propaganda against every aspects of Indonesia (goods & service) including socio-politic?

 

[NEKONEKO]

Indonesia lobbying to maintain US trade ties

Indonesian Trade Minister Enggartiasto Lukita met US Secretary of Commerce Wilbur Ross in Washington this week.PHOTO: INDONESIAN EMBASSY DC/TWITTER

Amid an escalating global trade war triggered by the United States, Indonesia is going against the grain by lobbying Washington in a bid to maintain its trade ties with the world's largest economy.

Leading a business delegation to the US capital this week is Indonesian Trade Minister Enggartiasto Lukita. It includes representatives from, among others, the Indonesian Chamber of Commerce and Industry (Kadin), and organisations representing Indonesian exporters, importers, biofuel producers, textile producers as well as producers of key exports including tyres, palm oil, steel and aluminium.

Mr Enggartiasto's key focus for the trip is to discuss the review of US preferential trade tariffs, which Indonesia has enjoyed for decades, as well as explore new opportunities for local businesses in the US.

Indonesia and US share longstanding ties, but against the backdrop of what has been a series of tit-for-tat moves against the US by its trading partners, Mr Enggartiasto's mission is to seek another path to enhance their partnership.

After a meeting between Mr Enggartiasto and US Secretary of Commerce Wilbur Ross on Tuesday, both countries agreed to lay out a road map to boost bilateral trade to US$50 billion (S$68.2 billion) in the next few years, from nearly US$26 billion last year.

"We don't want to set a target without outlining clear steps to achieve it. So, we will produce a road map," Mr Enggartiasto was quoted as saying by The Jakarta Post.

According to Indonesia's Trade Ministry, two-way trade between Indonesia and the US reached US$25.92 billion in 2017, with Indonesia exporting US$17.79 billion worth of goods and commodities, while it imported US$8.12 billion, resulting in a surplus of US$9.67 billion.

While the US is among Indonesia's biggest trading partners, Indonesian goods and commodities accounted for only 0.88 per cent of overall American imports in 2017, according to Geneva-based International Trade Centre, which also showed that Indonesia's annual exports to the US contracted by 3 per cent between 2013 and 2017.

In April last year, the Trump administration released a list of countries with which it has considerable trade deficits. Indonesia, South-east Asia's largest economy, was ranked 15 out of 16 countries.

Observers say weighing trade relations between Indonesia and the US based solely on US deficit does not present a complete picture. Indonesia and the US trade complementary goods and commodities.

In 2012, American airplane maker Boeing signed a US$22.4 billion deal - its largest ever commercial airplane order - with Indonesia's Lion Air, the country's largest carrier by passenger volume. Indonesian steel, meanwhile, is part of the supply chain of American companies, including Boeing.

The Trump administration's move to impose 25 per cent import duties on steel will eventually push up aircraft production costs in the US, say observers.

They add that should Indonesia be dropped from the US' preferential tariff scheme, called the Generalised System of Preferences (GSP), companies in America may end up paying extra import duties for goods from Indonesia. The US Trade Representative's Office had said in April that it was reviewing the eligibility of Indonesia, along with India and Kazakhstan, for the GSP based on concerns over compliance with services and investment criterion.

Details from the review are expected by the end of this year.

Indonesia has benefited from significant tariff reductions under the GSP scheme since 1980. Last year, for instance, the facility led to reduced tariffs on US$1.9 billion worth of Indonesian products.

"Actually, American consumers and entrepreneurs are the main beneficiaries of the GSP facility," said Kadin deputy chairman for international relations Shinta Kamdani. Indonesia, she said, is hoping the GSP facility is maintained.

The trade delegation is expecting to expand its economic relations with the US through investments in areas such as the aviation sector.

source
If only we can make our own jet.

 

[pr1v4t33r]

Hello my Indonesian friends, your trains and stations are looking good!

Thanks, compared to what we used to have some years ago.. our train service today is definitely better. From the trains, stations, railway platforms and rail infrastructure are upgraded and underway continuous improvement. It's quite comfortable nowadays to travel with train across Java and Sumatra. Last year around 400 million passengers recorded using train service, mostly commuter rail passengers.

This new enthusiasm also spurs industrial innovation to bring new train and railway technology to Indonesia. In the last few years PT.INKA has develop new products that not only cater to our domestic demand but also targeted for export market. We have some success with Bangladesh, Philippines and some African nations like Senegal just to name a few.

Despite all of that good things i mention, Indonesia is actually still playing catch-up with our neighbors, like Singapore, Malaysia and Thailand. We are content, but hardly satisfied and eager to make a leap in improving our rail service industry.

 

[Logam42]

Did you know that "the competitors" as in business interest & NGO's from neighbouring states (Malaysia, Singapore, Australia) has been busy spreading all kind of black campaign and propaganda against every aspects of Indonesia (goods & service) including socio-politic?

2/3rds of Australians do not know Indonesia is a democracy.

SBY was the kindest President ever to Australia.

His reward:

1. They wiretapped him & his wife
2. The enacted a cattle export ban just weeks before Idul Adha
3. Australian warships violated indonesian EEZ to herd refugee ships into Indonesian waters

Nuff said.

I'll say this as a person who spend 4 years in Australia. Australia is strong because of its institutions, not its political leadership.

BTW, I rode an executive carriage from jakarta to bandung not long ago. I have to agree with your evaluation of its weaknesses. The wifi-was on-off, the cafe only had tea, water , and coffee. The wifi was for limited use only. Better than common carriage but not as good as 'true' executive. Still though, the prices weren't as expensive as executive ticket on trains abroad.

 

[monitor]

New sleeper train to serve the home coming season

Very good looking luxurious train cabin is it made in Indonesia ?

 

[pr1v4t33r]

Very good looking luxurious train cabin is it made in Indonesia ?

yup, Bangladesh also need one of this..