Construction of Karawang Airport Expedited_January 25, 2014_IndII

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    3/6/2014 Indonesia Infrastructure Initiative - IndII

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    31 January 2014

    Source : Investor Daily

    Keyword :

    Category : Air Transport

    File : Pembangunan Bandara Karawang Dipercepat.pdf

    Construction of Karawang Airport Expedited

    Investor Dai ly, 25 January, 2014, Page 1, Section: Front Page News

    By Novy Lumanauw and Tri Murti

    JAKARTA - The government has decided to accelerate the construction of a new airport in Karawang, West Java,

    following the cancellation of a plan to build the third runway of Soekarno-Hatta (Soetta) Airport on a land

    reclamation area. Currently, the central government is urging the Provincial Government (Pemprov) of West Java to

    accelerate the finalization of revision to the general plan of spatial layout (RUTR) so that the construction of thenew airport can be reali sed as s oon as possi ble.

    "The central government supports the construction of a new airport in Majalengka, West Java. However, the one in

    Karawang also has to be built. This year, revision of West Java Province RUTR must be completed, so that it can be

    legisl ated as a Regional Regulation (Perda) by the Provincia l Parl ia ment in West Java," said Mini stry of

    Transportation (Menhub), EE Mangindaan, to Investor Dai ly, in Manado, North Sula wesi , recently.

    Mangindaan explained that the construction of the new airport becomes an absolute necessity because there is no

    other al ternative that can be done to expand Soekarno-Hatta Airport complex, especia l ly for a dding runways.

    All this time, said Menhub, there had actually been three alternative sites for the new runway construction being

    studied by government, [one of them] was in Lebak of Banten Province. Another alternative location for the newrunway construction was in between Terminal 1 and Termina l 2 of Soetta Airport.

    In addition, the runway might be built on reclaimed coastal land around Soetta Airport. Reclamation was judged to

    be the best option a mong the three. "Buil ding a runway in Lebak turned out to be not suitabl e at al l ," he sa id.

    However, the plan to build the runway on reclaimed land was eventually abandoned after the government and the

    company that will execute the reclamation work could not reach an agreement regarding the management of the

    runway faci li ty in the future. The government would not grant the request of the reclamation-executing company to

    manage the third runway of Soetta Airport.

    "The reclamation [plan] has been cancelled. We could not agree that the runway would be managed by another

    party; we would be the one to manage it," said Menhub. However, Menhub refused to mention the name of thecompany in question.

    The government has eventually decided to build a new airport in Karawang Regency, in order to reduce the burden

    on Soetta Airport. "We will build a new airport. This already has a consortium of investors, namely JICA (Japan

    International Cooperation Agency) of Japan," said Mangindaan.

    Earlier, Director General of Air Transport of the Ministry of Transportation, Herry Bakti S Gumay, said that the

    capacity of the airport in Karawang would be made similar to that in Soekarno-Hatta Airport.

    The airport will be built in three phases with an investment scheme of public private partnership (PPP). For the first

    phase, the airport in Karawang will be built to accommodate 30 million passengers, from a total capacity of 100

    million passengers.

    The government also plans to improve access to the new airport in Karawang, by making supporting infrastructure

    avai la ble, namely the ai rport train and a toll road.

    http://www.indii.co.id/upload_file/201402051505300.Pembangunan%20Bandara%20Karawang%20Dipercepat.pdf
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    Meanwhile, President Director of PT Angkasa Pura (AP) II, Tri S Sunoko, revealed that his company is still trying to

    optimise the capacity of aircraft movements at Soetta Airport.

    He also admitted that building the third runway at Soekarno-Hatta Airport must still require land acquisition that

    will take a long time.

    "So, we are now focused on optimising the capacity for aircraft movements. The current aircraft movement capacity

    of about 64 times per hour will be increased to 72 times in June 2014 and 86 times in June 2015," he said.

    This year, Tri sa id further, AP II has a ll ocated capi tal expenditure of Rp 8.7 tril li on, up from la st year's Rp 4 tril li on.The budget will be used to develop 10 airports under the management of AP II, namely Soekarno-Hatta (Jakarta),

    Kualanamu (Medan), Depati Amir (Bangka), Husein Sastranegara (Bandung), Supadio (Pontianak), Sultan Mahmud

    Badaruddin II (Palembang), Sultan Syarif Kasim II (Riau), Sultan Iskandar Muda (Banda Aceh), Raja Haji

    Fisabil il lah, (Riau I slands), as well as Minangkabau (Padang).

    "The biggest budget is to invest in Terminal 3 of Soekarno-Hatta Airport; the investment amount reaches Rp 4.7

    trillion," he said.

    AP II also will build a station for Soetta Airport Train. The infrastructure development contract will be done this

    month. In addition, AP II will build a hotel[s], shopping mall[s], and a convention centre. "The tenders for these have

    just begun," he said.

    Support

    When confirmed separately, Chairman of Indonesian Air Carriers Association (INACA), Tengku Burhanuddin,

    expressed his organisations support for the development of Karawang Airport to begin immediately, because the

    condition of Soetta Airport is difficult to allow further development. "It cannot be ignored, the demand for air

    transport has continued rising, said Tengku, when contacted by Investor Daily, Friday (24 January).

    The new ai rport in Kara wang, Tengku sa id further, should be completed in the next five years.

    For airlines, the presence of this new airport will be a solution to the flight traffic density at Soekarno-Hatta Airport.

    "The more airport opportunities, the better it i s for the airl ines," said Tengku.

    Tengku sai d the new ai rport in Ka rawang could be a new option for people who reside in the eas t of Jakarta to reach

    the nearest ai rport.

    Meanwhile, aviation consultant Gerry Soejatman assesses that the plan of Ministry of Transportation (Kemenhub)

    to build the airport in Kara wang is al ready appropriate. "Sooner or la ter, the airport in Kara wang has to be built,"

    he said.

    Seeing the condition of Soetta Airport, which already does not meet the needs of the aviation industry, particularly

    in the Greater Jakarta (Jabodetabek) area, the development of Karawang Airport is very urgent. Moreover, all this

    time the airports outside Jakarta have not increased their capacities and facilities, so that all flights will continue

    through Jakarta. "So, Jakarta should provide additional capacity of about 100 percent of the current capability

    within the next 10 years ," said Gerry.

    According to Gerrys calculations, the new airport in Karawang ideally could provide a 50 percent to 100 percent

    addition to the number of aircraft movements in and around Jakarta. If the discourse on the addition of a third

    runway at Soekarno-Hatta Airport is hampered, or it even fai ls , an ai rport in Karawang should be buil t as soon as

    possible.

    He ass erted that, whether or not Soetta Airport wil l add a runway, Jakarta, i n any case, needs one more ai rport. This

    is because the addition of one runway at Soekarno-Hatta Airport will only be able to add 30 percent to the aircraft

    movement capacity. The figure is far below the current requirement, which is an airport of the same capacity as

    Soetta Airport.

    Gerry added that, if the airport development project cannot yet be undertaken, this will certainly hamper economic

    growth in Jabodetabek. "In less than 10 years, we need a total of two ai rports of Soetta Airport si ze, at mini mum," he

    said.

    However, he reminded that the construction of Karawang Airport must be supported by adequate infrastructure. He

    gave an example of the development of Kualanamu Airport, which should serve as a lesson for the government, not

    to build an ai rport in an area that is difficul t to reach.

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    With regard to the investor[s] for the new airport project, the government is reviewing whether it will involve PT

    Angkasa Pura II or not. Regarding the discourse that a domestic airline will invest there, said Gerry, this does not

    matter as long as the operation runs i n a fai r manner.

    He also said that, in the event the investment will be made by foreign investor[s], this will not matter. However, the

    most important thing is that the investment mechanism must be fair and transparent, including the airport

    management in due course, such as in the case of time slots control.

    Although the airport in Karawang will be built in due course, Gery assessed that the expansion of Soekarno-HattaAirport still needs to be done. Moreover, the construction of Soetta Airports third runway will actually be much

    faster in meeting the urgent needs of the aviation industry, rather than building the new airport in Karawang, which

    can take four to five years.

    Third Runway to be Done First

    Meanwhile, Commission V Deputy Chairman of the Indonesian House of Representatives (DPR RI), Muhiddin M Said,

    reveal ed that the construction of the third runway of Soekarno-Hatta Airport must take precedence over the buil ding

    of a new airport in Karawang. "The issue with the runway pertains to just a matter of land. The government can

    si mply prepare the la nd and ass is t Angkasa Pura i n building it," he sa id.

    Another consideration, he added, is that supporting modes of transport in Soetta Airport are already available and

    comprehensive. In fact, in the future, an airport express train from Halim Airport to Soekarno-Hatta Airport willprovide further s upport. "This is al ready better compared to building the ai rport in Karawang, which stil l cal ls for

    the infra structure and supporting transports to be prepared," he sa id.

    Nevertheless, Muhiddin said, the government also must prepare as soon as possible the construction of the airport

    in Karawang. This is because the construction of a new airport takes at least three to five years.

    Meanwhile, a number of large commercial airports managed by PT Angkasa Pura (AP) I also will be developed this

    year. With capital expenditure of around Rp 5.8 trillion this year, AP I will expand and build terminal[s] in Ngurah

    Rai Airport (Denpasar), Terminal II in Juanda Airport (Surabaya), Sepinggan (Bali kpapan), International Terminal of

    Ahmad Yani Airport (Semarang), Syamsuddin Noor (Banjarmasin), and the International Airport of Yogyakarta.

    "We have also initiated a study for enlarging the capacity of Sultan Hasanuddin Airport to 30 million passengers

    per year and to add one runway at Juanda Airport," said Presi dent Director of AP I, Tommy Soetomo.

    Furthermore, Kemenhub has also affirmed that there will be 14 small airports beginning to operate this year. The

    airports are located in the regions of Sumatera, Java and Sulawesi; they are Muara Bungo (Bungo), Pekon Serai

    (West Lampung), Pagar Alam (Lahat), Bawean in Bawean Island, Gresik in East Java, Sumarorong (Mamasa), Bone-

    Bone (North Luwu), and Matahora (Wakatobi). In addition, there are airports located in the areas of Papua and

    Maluku Islands, namely Ibra (New Tual), Saumlaki Baru (West Southeast Maluku), Kuffar (East Seram) and Waghete

    Baru (Pania i), Marinda (Waisai ), Raja Ampat and Kamanap (Yapen), and Dekai (Yahukimo). (ean/c04)

    Planned Expansion of Five Major Airports

    Soekarno-Hatta Jakarta Ngurah

    Rai Bali

    Juanda

    Surabaya

    Polonia

    Medan

    S

    Hasanuddin

    Makassar

    Year 2012

    Capacity

    (million)

    22 7 7 1 7

    Demand

    (million)

    57 14 16 8 8

    Ratio 259% 200% 229% 790% 114%

    Demand

    Growth (%)

    12 15 13 12 12

    2013 New

    Terminal

    Kualanamu

    Capacity

    (million)

    25 8

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    Ratio 56% 99%

    Plan I Terminal 3 (expansion) New Terminal Gate 2 New

    Terminal

    Capacity

    (million)

    43 14 15 14

    Completion

    Target

    Year 2015 Year 2014 Year 2016 Year 2015

    Plan II Revital isation Terminal 1 and 2 New Terminal 3

    and Runway 2

    Gate 3

    Capacity

    (million)

    62 30 22

    Completion

    Target

    Year 2018 Year 2015 Year 2023

    Pl an I II Revi tal is ati on Termi nal 1 and 2

    Expansion of Terminal 4 and Runway

    3

    Capacity

    (million)

    87

    Completion

    Target

    Year 2018

    Source: Deutsche Bank

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