The Kalibaru Project, or New Priok, includes an initial investment by PT Pelabuhan Indonesia II (Persero) or IPC of US$2.47 billion. New Priok is located in Nusantara II Passenger Terminal at the port of Tanjung Priok. The ground breaking ceremony was attended by the ministers of Kabinet Indonesia Bersatu II, representatives from the various foreign embassies in Indonesia and associations related to the port service.
The development of New Priok by IPC, Indonesia’s largest port operator, is part of Indonesia’s long-term transportation strategy under the Masterplan for Acceleration and Expansion of Indonesia Economic Development[1] (MP3EI), aimed at strengthening domestic trade efficiencies and boosting the competitiveness of Southeast Asia’s largest economy.
A National Pendulum initiative under the MP3EI aims optimize trade between different ports in Indonesia and lower logistics costs. This is achieved through strengthening connectivity between key ports of call along the Main-sea Corridor connecting East and West Indonesia, developing supporting infrastructure, and streamlining trade along these ports to minimize empty-load trips. New Priok will be an integral port along the East-West Pendulum, contributing to international and domestic trade.
“Domestic consumption has driven Indonesia’s GDP growth of over 5 per cent on average annually [2]. IPC’s US$2.47 billion investment into port infrastructure shows our commitment to sustain this growth, and to the government’s Masterplan by energizing trade. New Priok will open Indonesia up to global and regional shipping routes and help to cement its position as an economic powerhouse, ranked among the top ten ports in the world[3] when fully completed in 2023,” said President Director of IPC, R.J Lino.
“The planned expansion will allow New Priok to accommodate EEE class vessels[4], and large capacity vessels of up to 15,000 TEUs. Large container vessels can now dock in Indonesia without the need for transhipment in another country, dramatically reducing costs per container unit,” he added.
The first phase of expansion of New Priok Terminal is set for completion by 2018 and includes three container terminals and two petroleum terminals. New Priok Terminal Phase I will be constructed over 195 hectares of reclaimed land, providing some 4.5 million TEUs of additional container capacity and 9.4 million m3 of petroleum products. The port is designed with a -16 meter draft at Low Water Spring (LWS) for its first phase and -20 meter LWS for its second, and a two-way approach channel of approximately 300 meters with a 4000 meter quayside. The first container terminal in New Priok will commence operations in 2014, adding 1.5 million TEU of container capacity.
Construction on the New Priok development commenced in December 2012 by PT PP (Persero). Mitsui & Co. was recently appointed as the operator of the first container terminal in New Priok. The port expansion is based on the Presidential regulation No. 36 /2012, signed on April 5th 2012 and written on the convention between the Ministry of Transportation through the Port Authorities of Tanjung Priok and IPC.
To be fully completed in 2023, New Priok will be Indonesia’s largest port and among top ten in the world, energizing domestic and international trade