Entering 2 years of Pelindo merger: New Priok shifts towards a greener direction
This article has been translated by PwC Indonesia as part of our Indonesia Infrastructure News Service. PwC Indonesia has not checked the accuracy of, and accepts no responsibility for the content.
Bisnis Indonesia - Jelang 2 tahun merger Pelindo: New Priok bergulir lebih hijau
5 September 2023
By: Hendra Wibawa
PT Pertamina (Persero) is choosing Kalibaru Terminal or New Priok in Tanjung Priok Port in North Jakarta as the location for their integrated eco-friendly modern energy terminal.
The competition between Tanjung Priok Port in Jakarta and Patimban Port in Subang Regency in West Java over the international hub port title is entering a new round.
Recently, PT Pelabuhan Patimban Internasional tapped Toyota Tsusho Corporation from Japan to manage the vehicle terminal in Patimban Port.
PT Pelabuhan Patimban Internasional is the company that manages Patimban Port, whose shares are owned by PT CTCorp Infrastruktur Indonesia, PT Indika Logistic & Support Services, PT U Connectivity Services, and PT Terminal Petikemas Surabaya.
On Thursday (31/8), it was the turn of PT Pelabuhan Indonesia (Pelindo) as the operator of Tanjung Priok Port to establish an agreement with PT Pertamina International shipping, a subholding of PT Pertamina (Persero). Both companies have decided to synergise to construct an eco-friendly fuel terminal named Jakarta Integrated Green Terminal (JIGT) in Kalibaru Terminal or New Priok.
Pelindo President Director Arif Suhartono said that JIGT would be constructed on top of reclaimed lands in Kalibaru that are still in the Tanjung Priok Port area. “We are still reclaiming [the lands],” he said to Bisnis on Monday (4/9).
Pelindo plans to develop JIGT in Kalibaru in North Jakarta in an area that is uninhabited, bordering with the seashore, and capable of accommodating large ships.
With a size of 64 hectares, JIGT will have a fuel capacity of 6.3 million barrels. However, Arief is still reluctant about revealing the budget required to construct JIGT in Kalibaru.
Besides that, he is also reluctant about revealing the cooperation scheme with the Pertamina subholding. “The form is still being studied. It is still in the early stage,” Arif said.
Pelindo’s agreement to construct the green energy terminal with the Pertamina subholding is a follow up to the master agreement that was previously signed as a real embodiment of SOE synergy.
According to him, JIGT in Kalibaru Terminal will adopt the eco-friendly concept. “In this collaboration, Pelindo will focus on port services to support the development of the JIGT project that has been anticipated by the government,” Arif said.
Pertamina International Shipping CEO Yoki Firnandi also agrees that JIGT is the answer to the increasingly high and dynamic need for green energy.
According to him, JIGT that has a capacity of up to 6.3 million barrels can fulfil the energy needs of Jakarta, Bogor, Depok, Tangerang, and Bekasi (Greater Jakarta) that have the potential to increase in the future.
“JIGT development will be accompanied by the implementation of the latest modern technologies and a digitalised automated system that ensures safe and efficient terminal operation,” Yoki said.
He continued that JIGT would be a gateway for the energy trade ecosystem that goes through the Singapore-Indonesia corridor, which is the global trade route for oil and liquid natural gas (LNG). It will provide an optimal value to develop business potentials to maintain national energy security.
PT Pertamina President Director Nicke Widyawati also explained that JIGT was constructed to be more modern, eco-friendly, and sophisticated.
Later, the energy terminal in Kalibaru will be larger to complement Plumpang Integrated Terminal that is currently the backbone infrastructure for fuel in West Java.
“Jakarta Integrated Green Terminal in Kalibaru is designed to be in accordance with the energy transition trend and the green energy business development of Pertamina. Besides that, it will also be the energy terminal that has the best operating standards,” Nicke said.
JIGT is planned to not only accommodate fuel such as liquified petroleum gas (LPG), fuel oil, gasoline, and biodiesel, but it is also designed to accommodate LNG, crude palm oil (CPO), used cooking oil (UCO), and petrochemical.
“JIGT is also designed to anticipate the energy need increase trend that is in accordance with the national economic growth target,” he added.
Sustainable energy
SOE Deputy Minister Kartika Wirjoatmodjo also agrees that JIGT is an infrastructure megaproject that does not only support national energy security, but also sustainable energy needs in the future.
With modern technologies and digitalisation, he believes that JIGT is proof that Indonesia has an international logistics infrastructure project that will improve Indonesia’s logistics performance index.
Meanwhile, The National Maritime Institute (Namarin) Director Siswanto Rusdi agrees that JIGT needs to be built in Kalibaru rather than Patimban Port. Kalibaru Terminal extends out towards the sea, so the sedimentation rate in Kalibaru is relatively maintained.
“Different from Patimban Port that has a siltation potential at the entry route,” Siswanto said.
According to him, JIGT can be the answer to the existing problems at Plumpang Fuel Terminal that repeatedly caught on fire. However, Siswanto is asking PT Pertamina to move all facilities of Plumpang Fuel Terminal to JIGT.
“The JIGT project is a strategic project of Pertamina to reduce environmental issues. Plumpang is a latent threat as it has caught on fire numerous times,” he stated.
Regarding the cooperation scheme, Siswanto is suggesting Pelindo to not only lease lands in Kalibaru Terminal for JIGT that belongs to Pertamina. He hopes that JIGT can provide services to other ships to take advantage of the ship refuelling facility.
“Not only storing, but also purchasing and selling ship fuel,” Siswanto said.
