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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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Friday, 15 January 10
ADARO INDONESIA STILL TOPS IN INDONESIAN COAL EXPORT RANKING
COALspot.com (Indonesia): PT. Adaro Indonesia, the world first Envirocoal producer and Indonesia's second largest thermal coal producer is top coal ...
Friday, 15 January 10
NTPC TO ADD 6,000 MW EACH YEAR IN 12TH PLAN
Will raise total generation capacity to 75,000 Mw by 2017, up from 30,644 Mw at present.
India's largest power generator NTPC, which will launch ...
Friday, 15 January 10
POSCO SAYS 2010 COKING COAL AGREEMENT MAY BE DELAYED - BLOOMBERG
Posco, South Korea’s biggest steelmaker, said an agreement on coking coal prices for this year may be delayed because major suppliers of the s ...
Friday, 15 January 10
CHINA POWER FIRMS SEEK COAL IMPORTS, SUPPLY SCARCE
China's coal-hungry power plants have turned to imported coal to cope with widespread shortages, but spot supply is scarce, traders said on Thursda ...
Thursday, 14 January 10
INDONESIA POWER REDUCES COAL SUPPLY
PT Indonesia Power will reduce coal supplies from PT Tambang Batu Bara Bukit Asam to its Suralaya Power Plant. "The coal supply for the plant s ...
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- Borneo Indobara - Indonesia
- Indika Energy - Indonesia
- Trasteel International SA, Italy
- Ind-Barath Power Infra Limited - India
- Edison Trading Spa - Italy
- PNOC Exploration Corporation - Philippines
- Coal and Oil Company - UAE
- Electricity Generating Authority of Thailand
- Sinarmas Energy and Mining - Indonesia
- Dalmia Cement Bharat India
- The State Trading Corporation of India Ltd
- Sical Logistics Limited - India
- GAC Shipping (India) Pvt Ltd
- Economic Council, Georgia
- European Bulk Services B.V. - Netherlands
- Makarim & Taira - Indonesia
- LBH Netherlands Bv - Netherlands
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Gujarat Electricity Regulatory Commission - India
- Bayan Resources Tbk. - Indonesia
- Ceylon Electricity Board - Sri Lanka
- Pendopo Energi Batubara - Indonesia
- OPG Power Generation Pvt Ltd - India
- Kaltim Prima Coal - Indonesia
- Indogreen Group - Indonesia
- Uttam Galva Steels Limited - India
- Minerals Council of Australia
- Samtan Co., Ltd - South Korea
- Semirara Mining and Power Corporation, Philippines
- Krishnapatnam Port Company Ltd. - India
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- New Zealand Coal & Carbon
- Offshore Bulk Terminal Pte Ltd, Singapore
- Electricity Authority, New Zealand
- Globalindo Alam Lestari - Indonesia
- Bangladesh Power Developement Board
- Planning Commission, India
- Indo Tambangraya Megah - Indonesia
- Karbindo Abesyapradhi - Indoneisa
- Eastern Energy - Thailand
- Central Java Power - Indonesia
- Formosa Plastics Group - Taiwan
- Kalimantan Lumbung Energi - Indonesia
- Intertek Mineral Services - Indonesia
- India Bulls Power Limited - India
- Heidelberg Cement - Germany
- Power Finance Corporation Ltd., India
- South Luzon Thermal Energy Corporation
- Thai Mozambique Logistica
- Oldendorff Carriers - Singapore
- Antam Resourcindo - Indonesia
- CIMB Investment Bank - Malaysia
- Rio Tinto Coal - Australia
- Maharashtra Electricity Regulatory Commission - India
- Independent Power Producers Association of India
- Aboitiz Power Corporation - Philippines
- TeaM Sual Corporation - Philippines
- Bharathi Cement Corporation - India
- Sakthi Sugars Limited - India
- Vijayanagar Sugar Pvt Ltd - India
- Energy Link Ltd, New Zealand
- Coalindo Energy - Indonesia
- Bank of Tokyo Mitsubishi UFJ Ltd
- Mjunction Services Limited - India
- Africa Commodities Group - South Africa
- Vedanta Resources Plc - India
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Thiess Contractors Indonesia
- Siam City Cement PLC, Thailand
- Tata Chemicals Ltd - India
- Merrill Lynch Commodities Europe
- Leighton Contractors Pty Ltd - Australia
- Singapore Mercantile Exchange
- Latin American Coal - Colombia
- Star Paper Mills Limited - India
- Carbofer General Trading SA - India
- Ministry of Mines - Canada
- Directorate General of MIneral and Coal - Indonesia
- Videocon Industries ltd - India
- Karaikal Port Pvt Ltd - India
- Miang Besar Coal Terminal - Indonesia
- Standard Chartered Bank - UAE
- Global Green Power PLC Corporation, Philippines
- Xindia Steels Limited - India
- Alfred C Toepfer International GmbH - Germany
- White Energy Company Limited
- Orica Mining Services - Indonesia
- Neyveli Lignite Corporation Ltd, - India
- International Coal Ventures Pvt Ltd - India
- Commonwealth Bank - Australia
- Renaissance Capital - South Africa
- GVK Power & Infra Limited - India
- Directorate Of Revenue Intelligence - India
- San Jose City I Power Corp, Philippines
- Chettinad Cement Corporation Ltd - India
- Banpu Public Company Limited - Thailand
- Gujarat Sidhee Cement - India
- Siam City Cement - Thailand
- Sarangani Energy Corporation, Philippines
- Holcim Trading Pte Ltd - Singapore
- Barasentosa Lestari - Indonesia
- IEA Clean Coal Centre - UK
- SMC Global Power, Philippines
- PowerSource Philippines DevCo
- Grasim Industreis Ltd - India
- Riau Bara Harum - Indonesia
- Maheswari Brothers Coal Limited - India
- Cigading International Bulk Terminal - Indonesia
- Jaiprakash Power Ventures ltd
- Wood Mackenzie - Singapore
- Vizag Seaport Private Limited - India
- Sojitz Corporation - Japan
- Australian Commodity Traders Exchange
- Agrawal Coal Company - India
- Bukit Asam (Persero) Tbk - Indonesia
- Therma Luzon, Inc, Philippines
- Metalloyd Limited - United Kingdom
- Mintek Dendrill Indonesia
- PetroVietnam Power Coal Import and Supply Company
- London Commodity Brokers - England
- Coastal Gujarat Power Limited - India
- Billiton Holdings Pty Ltd - Australia
- Baramulti Group, Indonesia
- Salva Resources Pvt Ltd - India
- Global Business Power Corporation, Philippines
- Kumho Petrochemical, South Korea
- Tamil Nadu electricity Board
- Gujarat Mineral Development Corp Ltd - India
- Parliament of New Zealand
- Sindya Power Generating Company Private Ltd
- Timah Investasi Mineral - Indoneisa
- CNBM International Corporation - China
- Eastern Coal Council - USA
- Global Coal Blending Company Limited - Australia
- Chamber of Mines of South Africa
- Bahari Cakrawala Sebuku - Indonesia
- The Treasury - Australian Government
- MS Steel International - UAE
- Petron Corporation, Philippines
- Kohat Cement Company Ltd. - Pakistan
- Kartika Selabumi Mining - Indonesia
- AsiaOL BioFuels Corp., Philippines
- SN Aboitiz Power Inc, Philippines
- Iligan Light & Power Inc, Philippines
- Larsen & Toubro Limited - India
- Ministry of Finance - Indonesia
- Meenaskhi Energy Private Limited - India
- GN Power Mariveles Coal Plant, Philippines
- Indian Energy Exchange, India
- Straits Asia Resources Limited - Singapore
- Cement Manufacturers Association - India
- Central Electricity Authority - India
- Jorong Barutama Greston.PT - Indonesia
- Parry Sugars Refinery, India
- Anglo American - United Kingdom
- Meralco Power Generation, Philippines
- Attock Cement Pakistan Limited
- Bhushan Steel Limited - India
- Kobexindo Tractors - Indoneisa
- Aditya Birla Group - India
- Manunggal Multi Energi - Indonesia
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Ambuja Cements Ltd - India
- Bhatia International Limited - India
- Petrochimia International Co. Ltd.- Taiwan
- Interocean Group of Companies - India
- Essar Steel Hazira Ltd - India
- Lanco Infratech Ltd - India
- Altura Mining Limited, Indonesia
- Price Waterhouse Coopers - Russia
- Georgia Ports Authority, United States
- Orica Australia Pty. Ltd.
- Malabar Cements Ltd - India
- Australian Coal Association
- SMG Consultants - Indonesia
- Bhoruka Overseas - Indonesia
- Simpson Spence & Young - Indonesia
- Wilmar Investment Holdings
- Mercuria Energy - Indonesia
- Toyota Tsusho Corporation, Japan
- Energy Development Corp, Philippines
- ASAPP Information Group - India
- Bulk Trading Sa - Switzerland
- Madhucon Powers Ltd - India
- Sree Jayajothi Cements Limited - India
- Deloitte Consulting - India
- Medco Energi Mining Internasional
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Indian Oil Corporation Limited
- Pipit Mutiara Jaya. PT, Indonesia
- Mercator Lines Limited - India
- ICICI Bank Limited - India
- Marubeni Corporation - India
- Kepco SPC Power Corporation, Philippines
- Kideco Jaya Agung - Indonesia
- PTC India Limited - India
- Bukit Baiduri Energy - Indonesia
- Posco Energy - South Korea
- Ministry of Transport, Egypt
- GMR Energy Limited - India
- McConnell Dowell - Australia
- The University of Queensland
- Kapuas Tunggal Persada - Indonesia
- VISA Power Limited - India
- Binh Thuan Hamico - Vietnam
- IHS Mccloskey Coal Group - USA
- Jindal Steel & Power Ltd - India
- Romanian Commodities Exchange
- Semirara Mining Corp, Philippines
- Port Waratah Coal Services - Australia
- Indonesian Coal Mining Association
- Bukit Makmur.PT - Indonesia
- Savvy Resources Ltd - HongKong
- Rashtriya Ispat Nigam Limited - India
- Goldman Sachs - Singapore
- Asmin Koalindo Tuhup - Indonesia
- TNB Fuel Sdn Bhd - Malaysia
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