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