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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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- Leighton Contractors Pty Ltd - Australia
- MS Steel International - UAE
- Africa Commodities Group - South Africa
- Coal and Oil Company - UAE
- Toyota Tsusho Corporation, Japan
- Directorate General of MIneral and Coal - Indonesia
- Sojitz Corporation - Japan
- Singapore Mercantile Exchange
- Billiton Holdings Pty Ltd - Australia
- White Energy Company Limited
- Directorate Of Revenue Intelligence - India
- Antam Resourcindo - Indonesia
- Siam City Cement - Thailand
- Madhucon Powers Ltd - India
- Intertek Mineral Services - Indonesia
- Larsen & Toubro Limited - India
- Bukit Baiduri Energy - Indonesia
- Economic Council, Georgia
- Iligan Light & Power Inc, Philippines
- London Commodity Brokers - England
- Power Finance Corporation Ltd., India
- Kartika Selabumi Mining - Indonesia
- Gujarat Mineral Development Corp Ltd - India
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Sakthi Sugars Limited - India
- Sical Logistics Limited - India
- CNBM International Corporation - China
- Asmin Koalindo Tuhup - Indonesia
- Indian Energy Exchange, India
- Chamber of Mines of South Africa
- GN Power Mariveles Coal Plant, Philippines
- Medco Energi Mining Internasional
- Ambuja Cements Ltd - India
- IEA Clean Coal Centre - UK
- Semirara Mining and Power Corporation, Philippines
- Mintek Dendrill Indonesia
- Kumho Petrochemical, South Korea
- Cigading International Bulk Terminal - Indonesia
- Sree Jayajothi Cements Limited - India
- Bukit Asam (Persero) Tbk - Indonesia
- Bhushan Steel Limited - India
- Sinarmas Energy and Mining - Indonesia
- Petron Corporation, Philippines
- India Bulls Power Limited - India
- Pipit Mutiara Jaya. PT, Indonesia
- Timah Investasi Mineral - Indoneisa
- Indika Energy - Indonesia
- Minerals Council of Australia
- Kideco Jaya Agung - Indonesia
- Price Waterhouse Coopers - Russia
- Alfred C Toepfer International GmbH - Germany
- IHS Mccloskey Coal Group - USA
- Rashtriya Ispat Nigam Limited - India
- Agrawal Coal Company - India
- Karaikal Port Pvt Ltd - India
- Essar Steel Hazira Ltd - India
- Global Coal Blending Company Limited - Australia
- Aboitiz Power Corporation - Philippines
- Vijayanagar Sugar Pvt Ltd - India
- Uttam Galva Steels Limited - India
- Marubeni Corporation - India
- European Bulk Services B.V. - Netherlands
- Pendopo Energi Batubara - Indonesia
- Electricity Authority, New Zealand
- San Jose City I Power Corp, Philippines
- Altura Mining Limited, Indonesia
- Videocon Industries ltd - India
- Xindia Steels Limited - India
- Simpson Spence & Young - Indonesia
- Borneo Indobara - Indonesia
- Rio Tinto Coal - Australia
- AsiaOL BioFuels Corp., Philippines
- Kalimantan Lumbung Energi - Indonesia
- Carbofer General Trading SA - India
- Georgia Ports Authority, United States
- Thai Mozambique Logistica
- Holcim Trading Pte Ltd - Singapore
- Independent Power Producers Association of India
- ASAPP Information Group - India
- Global Green Power PLC Corporation, Philippines
- Malabar Cements Ltd - India
- Petrochimia International Co. Ltd.- Taiwan
- Australian Coal Association
- SMG Consultants - Indonesia
- Jindal Steel & Power Ltd - India
- Attock Cement Pakistan Limited
- Port Waratah Coal Services - Australia
- Indo Tambangraya Megah - Indonesia
- Orica Australia Pty. Ltd.
- The University of Queensland
- SN Aboitiz Power Inc, Philippines
- Star Paper Mills Limited - India
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Kohat Cement Company Ltd. - Pakistan
- Indian Oil Corporation Limited
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- GMR Energy Limited - India
- Mjunction Services Limited - India
- Ministry of Finance - Indonesia
- Interocean Group of Companies - India
- Kaltim Prima Coal - Indonesia
- Latin American Coal - Colombia
- Bhatia International Limited - India
- New Zealand Coal & Carbon
- McConnell Dowell - Australia
- Offshore Bulk Terminal Pte Ltd, Singapore
- Heidelberg Cement - Germany
- Merrill Lynch Commodities Europe
- International Coal Ventures Pvt Ltd - India
- Bhoruka Overseas - Indonesia
- Kapuas Tunggal Persada - Indonesia
- Ind-Barath Power Infra Limited - India
- Maharashtra Electricity Regulatory Commission - India
- Karbindo Abesyapradhi - Indoneisa
- Dalmia Cement Bharat India
- Lanco Infratech Ltd - India
- TNB Fuel Sdn Bhd - Malaysia
- Barasentosa Lestari - Indonesia
- Ministry of Mines - Canada
- Riau Bara Harum - Indonesia
- TeaM Sual Corporation - Philippines
- Coastal Gujarat Power Limited - India
- Indonesian Coal Mining Association
- Tamil Nadu electricity Board
- Bahari Cakrawala Sebuku - Indonesia
- Metalloyd Limited - United Kingdom
- Baramulti Group, Indonesia
- Chettinad Cement Corporation Ltd - India
- Grasim Industreis Ltd - India
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Formosa Plastics Group - Taiwan
- Mercator Lines Limited - India
- GVK Power & Infra Limited - India
- Aditya Birla Group - India
- Eastern Energy - Thailand
- Straits Asia Resources Limited - Singapore
- Indogreen Group - Indonesia
- Neyveli Lignite Corporation Ltd, - India
- Binh Thuan Hamico - Vietnam
- Ministry of Transport, Egypt
- Gujarat Sidhee Cement - India
- Vedanta Resources Plc - India
- LBH Netherlands Bv - Netherlands
- SMC Global Power, Philippines
- Parry Sugars Refinery, India
- Banpu Public Company Limited - Thailand
- Mercuria Energy - Indonesia
- Electricity Generating Authority of Thailand
- The Treasury - Australian Government
- Vizag Seaport Private Limited - India
- Miang Besar Coal Terminal - Indonesia
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Therma Luzon, Inc, Philippines
- Bharathi Cement Corporation - India
- Kepco SPC Power Corporation, Philippines
- Wilmar Investment Holdings
- Siam City Cement PLC, Thailand
- Gujarat Electricity Regulatory Commission - India
- VISA Power Limited - India
- South Luzon Thermal Energy Corporation
- Jaiprakash Power Ventures ltd
- Bank of Tokyo Mitsubishi UFJ Ltd
- Trasteel International SA, Italy
- Kobexindo Tractors - Indoneisa
- Eastern Coal Council - USA
- Sarangani Energy Corporation, Philippines
- PowerSource Philippines DevCo
- PetroVietnam Power Coal Import and Supply Company
- PTC India Limited - India
- Samtan Co., Ltd - South Korea
- Australian Commodity Traders Exchange
- Thiess Contractors Indonesia
- Commonwealth Bank - Australia
- Central Electricity Authority - India
- Jorong Barutama Greston.PT - Indonesia
- Anglo American - United Kingdom
- Savvy Resources Ltd - HongKong
- Bangladesh Power Developement Board
- Sindya Power Generating Company Private Ltd
- Globalindo Alam Lestari - Indonesia
- Coalindo Energy - Indonesia
- Salva Resources Pvt Ltd - India
- Deloitte Consulting - India
- Cement Manufacturers Association - India
- Energy Link Ltd, New Zealand
- OPG Power Generation Pvt Ltd - India
- Edison Trading Spa - Italy
- Romanian Commodities Exchange
- Central Java Power - Indonesia
- Maheswari Brothers Coal Limited - India
- Orica Mining Services - Indonesia
- Renaissance Capital - South Africa
- Wood Mackenzie - Singapore
- GAC Shipping (India) Pvt Ltd
- Posco Energy - South Korea
- Bayan Resources Tbk. - Indonesia
- ICICI Bank Limited - India
- Planning Commission, India
- Tata Chemicals Ltd - India
- Energy Development Corp, Philippines
- Manunggal Multi Energi - Indonesia
- Meralco Power Generation, Philippines
- Meenaskhi Energy Private Limited - India
- Parliament of New Zealand
- The State Trading Corporation of India Ltd
- Standard Chartered Bank - UAE
- Krishnapatnam Port Company Ltd. - India
- Bulk Trading Sa - Switzerland
- Oldendorff Carriers - Singapore
- CIMB Investment Bank - Malaysia
- Ceylon Electricity Board - Sri Lanka
- Global Business Power Corporation, Philippines
- Bukit Makmur.PT - Indonesia
- Semirara Mining Corp, Philippines
- PNOC Exploration Corporation - Philippines
- Goldman Sachs - Singapore
- Makarim & Taira - Indonesia
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