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Thursday, 21 January 10
CABOTAGE POLICY POSTPONED
 The Transportation Ministry has decided to postpone for one year the full enforcement of the cabotage principle – a maritime term for the prohibition of foreign ships carrying domestic cargo – which was originally scheduled for earlier this month, as required by a presidential instruction issued in 2005.
Transportation Minister Freddy Numberi explained Monday the postponement was allowed by the 2008 Maritime Transport Service Law, which stipulates, among other things, that the cabotage policy shall be implemented three years after the law comes into force.
The issue here is not whether the deferment is legal, but simply the sad fact that five years after the promulgation of the presidential decree, national freighters are not yet ready to fully take over the shipment of domestic seaborne cargo.
This is only more evidence of how ignorant the government has been of basic infrastructure, notably coastal shipping services, which are vital for such a vast archipelagic country as Indonesia.
It is understandable if more than 80 percent of our exports and imports are still controlled by foreign vessels, in view of the keen competition in international freight service. But letting around 40 percent of our domestic seaborne cargo remain carried by foreign-flagged ships could inflict severe damage to our economy.
Inter-island shipping provides input to the national economy both through the transport of commodities used in manufacturing and through the distribution of finished goods. Put another way, efficient and extensive coastal shipping services deepen the economic integration and linkages between all the major islands.
We therefore find it hard to understand why the government has not made concerted efforts to empower the national shipping and shipbuilding industries through well-coordinated policies involving banks, shippers (manufacturers) and other related parties.
Cabotage relaxation could benefit the economy through wider access to lower freight rates, because international bulk ships usually have much larger capacities. Moreover, many bulk ships servicing Australia’s exports of coal, iron ore, wheat, alumina and sugar to South Korea, India and Japan and even Indonesia arrive in Australia empty. Hence these freighters can marginally cost their inbound capacity at rates national freighter companies cannot compete with.
But we should look beyond the short-term benefits. Heavy dependence on foreign vessels for our domestic cargo makes our economy vulnerable to a sudden disruption of supplies, because foreign bulk vessels select their service routes primarily on the basis of optimizing cargoes and returns. If the government is really serious about improving national economic competitiveness and making the archipelago an economically integrated zone, it has no other choice but to empower the shipping and shipbuilding industries in cooperation with banks, traders and manufacturing companies.
The implementation of the cabotage principle would go a long way in making shipping firms more attractive to bank lending as it would increase the cargo volume for national freighters, which in turn would require more cargo vessels.
The development of coastal freight services has become more imperative now due to the sharp increase in the demand for inter-island shipments of coal, palm oil, petroleum-based products and various other bulk commodities.
For instance, coal shipments alone will more than double into the hundreds of millions of tons within six to 10 years as a result of the building of new coal-fired power plants with a total capacity of 10,000 megawatts in Java, while coal supplies are derived mainly from Kalimantan and Sumatra.
Source: Editorial / The Jakarta Post
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Saturday, 23 January 10
COAL CAMARADERIE
Union coal minister Shriprakash Jaiswal feels Asian countries should join hands in developing minerals, particularly coal.
At the third Asian Min ...
Friday, 22 January 10
ENERGY ADVISORY COUNCIL MULLS - COAL EXPORT BAN
The National Energy Council, which advises the House of Representatives and the president on energy issues, has begun to debate a proposal to ban ex ...
Friday, 22 January 10
MERCATOR EYES MORE COAL MINES IN INDONESIA
India’s second-largest private shipping company Mercator Lines is looking at acquiring more coal mines in Indonesia as part of its strategy&nb ...
Friday, 22 January 10
BHAKTI ENERGI IN TALKS OVER COAL VENTURES IN KALIMANTAN
PT Bhakti Energi Persada, one of Indonesia’s biggest miners of brown coal, revealed on Thursday that it was in talks to form a joint venture w ...
Friday, 22 January 10
SHENHUA ENERGY 09 YIELDED 210MN TONS COMMODITY COAL
China Shenhua Energy Co., Ltd. yielded 210 million tons of commodity coal in 2009, hiking 13.2% year on year, the Chinese energy titan announced tod ...
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- New Zealand Coal & Carbon
- Mercuria Energy - Indonesia
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- Directorate General of MIneral and Coal - Indonesia
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- Price Waterhouse Coopers - Russia
- PowerSource Philippines DevCo
- Madhucon Powers Ltd - India
- Timah Investasi Mineral - Indoneisa
- Videocon Industries ltd - India
- PTC India Limited - India
- GN Power Mariveles Coal Plant, Philippines
- Trasteel International SA, Italy
- Wilmar Investment Holdings
- Global Coal Blending Company Limited - Australia
- Maharashtra Electricity Regulatory Commission - India
- Bukit Asam (Persero) Tbk - Indonesia
- Commonwealth Bank - Australia
- Cement Manufacturers Association - India
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Binh Thuan Hamico - Vietnam
- Uttam Galva Steels Limited - India
- Sinarmas Energy and Mining - Indonesia
- Siam City Cement - Thailand
- Petrochimia International Co. Ltd.- Taiwan
- South Luzon Thermal Energy Corporation
- Bank of Tokyo Mitsubishi UFJ Ltd
- Rio Tinto Coal - Australia
- Chettinad Cement Corporation Ltd - India
- Indian Oil Corporation Limited
- Marubeni Corporation - India
- Bukit Baiduri Energy - Indonesia
- Gujarat Electricity Regulatory Commission - India
- The Treasury - Australian Government
- Australian Coal Association
- Bhushan Steel Limited - India
- Aditya Birla Group - India
- PNOC Exploration Corporation - Philippines
- Gujarat Mineral Development Corp Ltd - India
- Barasentosa Lestari - Indonesia
- Oldendorff Carriers - Singapore
- Parliament of New Zealand
- LBH Netherlands Bv - Netherlands
- Directorate Of Revenue Intelligence - India
- Makarim & Taira - Indonesia
- Singapore Mercantile Exchange
- Banpu Public Company Limited - Thailand
- Parry Sugars Refinery, India
- Minerals Council of Australia
- Borneo Indobara - Indonesia
- Petron Corporation, Philippines
- Mercator Lines Limited - India
- Coalindo Energy - Indonesia
- Malabar Cements Ltd - India
- Bukit Makmur.PT - Indonesia
- SMC Global Power, Philippines
- CNBM International Corporation - China
- Vedanta Resources Plc - India
- Indika Energy - Indonesia
- Riau Bara Harum - Indonesia
- Simpson Spence & Young - Indonesia
- Attock Cement Pakistan Limited
- Indian Energy Exchange, India
- Bayan Resources Tbk. - Indonesia
- Goldman Sachs - Singapore
- Merrill Lynch Commodities Europe
- Asmin Koalindo Tuhup - Indonesia
- Karbindo Abesyapradhi - Indoneisa
- Indo Tambangraya Megah - Indonesia
- Deloitte Consulting - India
- Offshore Bulk Terminal Pte Ltd, Singapore
- GAC Shipping (India) Pvt Ltd
- Eastern Coal Council - USA
- Neyveli Lignite Corporation Ltd, - India
- Jaiprakash Power Ventures ltd
- Eastern Energy - Thailand
- Star Paper Mills Limited - India
- Standard Chartered Bank - UAE
- Anglo American - United Kingdom
- Agrawal Coal Company - India
- Essar Steel Hazira Ltd - India
- European Bulk Services B.V. - Netherlands
- Independent Power Producers Association of India
- Energy Link Ltd, New Zealand
- Africa Commodities Group - South Africa
- Lanco Infratech Ltd - India
- White Energy Company Limited
- Indonesian Coal Mining Association
- McConnell Dowell - Australia
- Toyota Tsusho Corporation, Japan
- VISA Power Limited - India
- Meenaskhi Energy Private Limited - India
- Grasim Industreis Ltd - India
- SN Aboitiz Power Inc, Philippines
- Intertek Mineral Services - Indonesia
- Global Business Power Corporation, Philippines
- Kapuas Tunggal Persada - Indonesia
- Heidelberg Cement - Germany
- Orica Mining Services - Indonesia
- Aboitiz Power Corporation - Philippines
- Kalimantan Lumbung Energi - Indonesia
- Semirara Mining and Power Corporation, Philippines
- Sojitz Corporation - Japan
- Romanian Commodities Exchange
- Larsen & Toubro Limited - India
- Miang Besar Coal Terminal - Indonesia
- Savvy Resources Ltd - HongKong
- Georgia Ports Authority, United States
- Bangladesh Power Developement Board
- London Commodity Brokers - England
- IEA Clean Coal Centre - UK
- TNB Fuel Sdn Bhd - Malaysia
- Meralco Power Generation, Philippines
- Carbofer General Trading SA - India
- Altura Mining Limited, Indonesia
- Pendopo Energi Batubara - Indonesia
- International Coal Ventures Pvt Ltd - India
- Kumho Petrochemical, South Korea
- Kepco SPC Power Corporation, Philippines
- Interocean Group of Companies - India
- Coal and Oil Company - UAE
- Sindya Power Generating Company Private Ltd
- Australian Commodity Traders Exchange
- Samtan Co., Ltd - South Korea
- Sarangani Energy Corporation, Philippines
- Bulk Trading Sa - Switzerland
- Maheswari Brothers Coal Limited - India
- CIMB Investment Bank - Malaysia
- San Jose City I Power Corp, Philippines
- Leighton Contractors Pty Ltd - Australia
- GMR Energy Limited - India
- Antam Resourcindo - Indonesia
- Dalmia Cement Bharat India
- The University of Queensland
- Formosa Plastics Group - Taiwan
- Siam City Cement PLC, Thailand
- Metalloyd Limited - United Kingdom
- SMG Consultants - Indonesia
- Manunggal Multi Energi - Indonesia
- Baramulti Group, Indonesia
- Alfred C Toepfer International GmbH - Germany
- Global Green Power PLC Corporation, Philippines
- Ambuja Cements Ltd - India
- ICICI Bank Limited - India
- Ministry of Finance - Indonesia
- Straits Asia Resources Limited - Singapore
- Edison Trading Spa - Italy
- AsiaOL BioFuels Corp., Philippines
- Ind-Barath Power Infra Limited - India
- Bharathi Cement Corporation - India
- Port Waratah Coal Services - Australia
- Gujarat Sidhee Cement - India
- Electricity Authority, New Zealand
- Central Java Power - Indonesia
- India Bulls Power Limited - India
- Billiton Holdings Pty Ltd - Australia
- Iligan Light & Power Inc, Philippines
- Sakthi Sugars Limited - India
- Jorong Barutama Greston.PT - Indonesia
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Kohat Cement Company Ltd. - Pakistan
- Therma Luzon, Inc, Philippines
- Mjunction Services Limited - India
- Kaltim Prima Coal - Indonesia
- Medco Energi Mining Internasional
- Renaissance Capital - South Africa
- TeaM Sual Corporation - Philippines
- Tamil Nadu electricity Board
- Kartika Selabumi Mining - Indonesia
- Holcim Trading Pte Ltd - Singapore
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Planning Commission, India
- Xindia Steels Limited - India
- Bhatia International Limited - India
- Indogreen Group - Indonesia
- Cigading International Bulk Terminal - Indonesia
- Wood Mackenzie - Singapore
- Salva Resources Pvt Ltd - India
- Sree Jayajothi Cements Limited - India
- Economic Council, Georgia
- The State Trading Corporation of India Ltd
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Ministry of Transport, Egypt
- MS Steel International - UAE
- Jindal Steel & Power Ltd - India
- Rashtriya Ispat Nigam Limited - India
- Latin American Coal - Colombia
- Electricity Generating Authority of Thailand
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Chamber of Mines of South Africa
- Pipit Mutiara Jaya. PT, Indonesia
- Central Electricity Authority - India
- Ministry of Mines - Canada
- Power Finance Corporation Ltd., India
- Ceylon Electricity Board - Sri Lanka
- OPG Power Generation Pvt Ltd - India
- Vizag Seaport Private Limited - India
- Krishnapatnam Port Company Ltd. - India
- PetroVietnam Power Coal Import and Supply Company
- Thiess Contractors Indonesia
- Bhoruka Overseas - Indonesia
- ASAPP Information Group - India
- Semirara Mining Corp, Philippines
- Karaikal Port Pvt Ltd - India
- Thai Mozambique Logistica
- Sical Logistics Limited - India
- IHS Mccloskey Coal Group - USA
- Mintek Dendrill Indonesia
- GVK Power & Infra Limited - India
- Kideco Jaya Agung - Indonesia
- Orica Australia Pty. Ltd.
- Bahari Cakrawala Sebuku - Indonesia
- Posco Energy - South Korea
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