Trans Sumatera: Connecting the Future of Indonesian in the West
Sumatera Development would become growth accelerator that in line with Acceleration of MP3EI Spirit Through MP3EI, will put Indonesia as developed country the end of 2025 with condition: Income per capita:
USD 14.250-USD 15.500
GDP:
USD 4.0-4,5 Triliun
Economic growth is necessary:
6,4%-7,5% in 2011-2014 & 8%-9% in 2015-2025
The decline of inflation:
6,5% in 2011-2014 become 3% tahun 2025
Source: MP3EI
Region Sharing for GDP
The Important of Sumatera’s Economic as growth accelerator In order acceleration of economic growth and distribution of infrastructure building, Sumatera has highest GDP after Java, potentially to be developed faster, in which expected as “National Economic gate to market of Europe, Africa, South Asia, East Asia and Australia.
70%
60%
2007 2012
50% 40% 30%
20% 10% 0%
Source : BPS
Sumatera has experienced continuous economic growth and its potential is even higher, yet growth has been hampered by poor connectivity
Sumatera’s economy has grown rapidly… • • •
23.8 % of Indonesia’s GDP is generated in Sumatra Average GRDP growth is 5% per year (BPS, 2008-2011) Production and processing center of natural resources and The National Energy Reserves
…And its potential is even greater… Committed future investments in Sei Mengkei Special Economic Zone are: • IDR 3.74 Trillion in downstream palm oil sector • IDR 2.45 Trillion in oleochemical industry • IDR 537 Billion in fertilizer plants There are large investment opportunities in palm oil and coal downstream industry Capital of Province/Economic Center
…But until now hampered by poor connectivity Rail way
•
Industry Cluster
Connecting line of Economic Center Main Line to Exit Corridor
•
Coal Mining area
Existing Line
Domestic Cruise Network
Port
Rubber plantation area
Palm Oil Plantation area
Source: Masterplan for Acceleration and Expansion of Indonesia Economic Development 2011-2025
Waiting times at 4 key ports in Sumatra is 3-4 days, resulting in significant cost increases for exporters. Shipment cost by land transportation to Medan, North Sumatera reaches IDR 10 million/TUE (double the cost of container shipment from Tanjung Priok to Belawan Port in Medan)
Trans Sumatera Toll Road Consist of Main Corridor (1.813 km) and Supporting Corridor (795 km), 23 Segments Totally (2.608 km) 75 135 135 110 200
Sibolga
17
60
55 Bukit 185 Tinggi
175 126 175
Enim 88 Indralaya
191 22
125 Muara
Linggau
190
95 Lubuk
Bengkulu
Padang
100
85 100 139
Banda Aceh Sigli Lhokseumawe Langsa Binjai
Medan Tebing Tinggi Kisaran Rantau Prapat Dumai Pekanbaru Rengat Jambi Betung Palembang Kayu Agung Pematang panggang Terbanggi Besar Bakauheni
Koridor Utama Koridor Pendukung
Trans Sumatera Toll Road is Necessary, It Can’t Be Delayed...
Length of Indonesia’s Toll Road during 35 years (1978-2013) is 742 km. Competitiveness Index quality of road infrastructure in Indonesia ranked 90 out of 146 countries. Logistic Performance Index ranked 59 out of 155 countries. Quality improvement of highway infrastructure is needed to enhance the infrastructure competitiveness on free trade era. Construction of Trans Sumatra Highway, 2,608 km length, is an integrated part of other infrastructure development programs. Some toll roads have been tendered in 2005-2008, but did not get investors. In an effort to accelerate of infrastructure development, the government uses its authority to conduct toll road development, through assignment to State Own Enterprise (BUMN) that are wholly owned by the state.
...From the indicator, development of Trans Sumatera Toll Road can’t become discussion agenda only, it has to developed as soon as possible. The solution is needed to ensure Trans Sumatera project is developed according to the MP3EI target....
Toll Road Development Scheme BOT Private Land Acquisition
√
SBOT/HYBRID Gov
Private
√
Construction
√
√
O&M
√
√
EIRR >>> FIRR >>> Private : Toll Road Company Gov : Government SOE : State Own Enterprise
O&M/LEASE
Assigntment*
Gov
SOE
√
√
√
√
√
√
Gov
EIRR >>> FIRR Marginal *) PP 43 /2013
Private
√ EIRR >>> FIRR <<<
√ EIRR >>> FIRR <<<
Illustration of Similar Context Where a Separate Government Entity Model Have Been Preferred and Successfully Applied
Financial Feasibility (FIRR) of Trans Sumatera Still Low
Condition: • IRR average is below 10% while IDR commercial interest rate is above 10% • Projection of investment cost is IDR 307 trillion
Source : PU-BPJT, Presentasi di BKF bulan Februari 2013
Development Phase of Trans Sumatera Toll Road, And Become a Road Network in Sumatera No
Banda Aceh PHASE 1 PHASE 2 Binjai
Medan
Comulative
No
PHASE 3
Dumai
Sibolga
Pekan Baru
Padang Batam Batu Ampar
Hang Nadim
Jambi
Indralaya
Palembang
Bengkulu
Land Acquisition
1 Stage I 2 Next Stage
Kayu Agung
Terbanggi Bandar Lampung Bakauheni besar
Segment
KM
2014 2015 2016 2017 2018
304 2.304 2.608
KM
29
177
29
206
98 484 788
668 1.456
1.152 2.608
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 24
62
53
1 Bakauheni-Terbanggi Besar
139
2 Medan-Binjai
17
3 Pekanbaru-Dumai
126
35
44
4 Palembang-Indralaya
22
15
7
5 Terbanggi Besar-Pematang Panggang
100
10
10
20
6 Pematang Panggang-Kayu Agung
85
15
30
40
7 Dumai-Sp. Sigambal-Rantau Prapat
175
15
60
100
8 Rantau Prapat-Kisaran
100
15
30
55
9 Kisaran-Tebing Tinggi
60
20
40
17
6
47
60
19
10 Batu Ampar-Bandara Hang Nadim
25
11 Betung-Jambi
191
20
45
45
81
12 Jambi-Rengat
190
20
50
50
70
13 Rengat-Pekanbaru
175
25
50
100
14 Pekanbaru-Bukit Tinggi
185
20
50
50
65
15 Bukit Tinggi-Padang
55
10
45
16 Tebing Tinggi-Sibolga
200
15
50
50
17 Indralaya-Muara Enim
88
10
25
53
18 Muara Enim-Lahat-Lubuk Linggau
125
20
30
30
19 Lubuk Linggau-Curup-Bengkulu
95
10
30
55
20 Sigli-Banda Aceh
75
15
60
21 Binjai-Langsa
110
10
40
60
22 Langsa-Lhokseumawe
135
10
50
75
23 Lhokseumawe-Sigli
135
20
50
65
Operation Lenght of Stage I (km) Operation Lenght of Stage II (km) Operation Lenght of Stage III (km) Total Operation Lenght (km)
45
-
17
91
204
304
-
-
-
31
140
330
-
-
-
-
-
-
30
215
530
1.053
1.514
1.759
-
17
91
235
444
634
879
1.064
1.379
1.902
2.363
2.608
545
Phase 1 (2014-2018)
Phase 2 (2016-2020)
Economically: • Land is free relatively • Economic center • Have been tendered but not successfull
Economically: • Connecting the economic central of phase 1
Financally: • Is the best segments traffically, so that potential for sales the consession for spesific period; • Sales result from phase 1 can be used for next phase
85
Financially: • After phase 1 is developed, traffic phase 2 corridor will be generated because of economic centers connectivity.
Tahap 3 (2019-2025) •
Trans Sumatera toll road as one network
Business Scheme of Trans Sumatera Toll Road
Government
Multi Donor Fund
State budget
4
Govnt. Injection
ADB
Governtment’s Loan
SLA
2
Direct lending
3
Corporate bond & direct lending
Government guaranteed
Local/Foreign Partner Local Parnter Foreign Partner Other SOE
SPV
WB
SLA
SOE
Gov. Inj
JICA
1
Equity
Debt
SOE
Shareholder Loan (SHL)
Investor SOE Bank(s) PIP, SMI etc Market
bridging finance
5
Partner
Commercial Loan
Partner Equity
Equity
30%
Loan
70%
HK
21%
Partner
9%
Source Of Fund Simulation: Phase I (4 Segments) Investment Cost (IDR Billion)
Govr. Injection
Equity Partner
Direct Lending
Corporate Bond
6.481
2.777
10.980
10.627
Debt Service Coverage Ratio
Ending Cash at the lowest DSCR
ADSCR
Min DSCR
1,2
0,2
Rp 11.989 Billion
1,2
0,6
Rp 301 Billion
Pekanbaru – Dumai
3,6
0,7
Rp 381 Billion
Palembang – Indralaya
1,9
0,6
Rp 44 Billion
Medan – Binjai
2,7
-0,4
Rp 8 Billion
Total
3,4
0,3
Rp 15.822 Billion
Segment Bakauheni - Terbanggi Besar
Selling Concesion 7 x EBITDA
Disburstment Investment Estimate
Source of Fund for 23 Segments exclude Land Acquisition Equity : Rp 92,26 trillion (30%) Loan : Rp 215,37 trillion (70%) Total : Rp 307,53 trillion
Source of Fund for 4 Segments exclude Land Acquisition Equity : Rp 9,26 trillion (30%) Loan : Rp 21,6 trillion (70%) Total : Rp 30,86 trillion
Financing Trans Sumatera Toll Road Keseluruhan 23 Ruas
4 Ruas Tahap I
Financing of Bakauheni – Terbanggi Besar
Financing of Medan – Binjai
Pinjaman menggunakan direct lending KMK untuk memenuhi kebutuhan operasi setiap awal tahun
Cicilan pokok pinjaman dengan tenor 25 tahun & grace period 7 tahun Pengembalian KMK setiap akhir tahun
Financing of Palembang – Indralaya
Financing of Pekanbaru – Dumai
Succesfullness of Development Scheme depent on sinergy that created by related Stakeholder Stakeholder
Partisipation in Trans Sumatera Toll Road Development
Indonesian Government
• Giver assignment to SOE through “Peraturan Presiden” • Giving Capital injection Support and Guarantee of primary loan and loan interest that obtained by PT.Hutama Karya for investment required
SOE as Toll Road Entreprises
• Accepting Assignment from Indonesian Government • Making Toll Road Development Agreement with Toll Road Institution • developing Toll Road directly or join with another enterprises • Forwarding Government loan to Toll Road Enterprises of each segments
Toll Road Entreprise or SPV
• SOE stand alone or joint with another enterprises to created consortium Toll Road Enterprise than it will called Special Purpose Vehicle (SPV) • SPV have charge to develop certain Toll road
Equity Partner
• Supporting Trans Sumatera Toll Road development by giving capital support to Toll Road Enterprise or loan with certain requirement and provision. • Partner come from State owned Enterprise or Regionally Owned Enterprise or Private Company local and international
Lender Institution (Bilateral/Multilateral)
• Giving soft loan (long maturity and low interest) to SOE based on Government guarantee on primary loan and interest loan. • Could be Bilateral or multilateral institution or another financing institution such as PIP
Financing Institution (Bank, Dana Pensiun, PT SMI, PT IIF)
• Absorbing Corporate bond that issued by Toll Road Enterprise to investment required. • Giving Capital work loan to operasional required • Could be State Owned Bank, Comersial Bank, Pension Fund, PT. SMI, or PT. IIF
Benefits of The Development of Trans Sumatra Highway On The Acceleration For Economic Development
Benefits of The Development of Trans Sumatra Highway , such as: 1.
Reduce the cost products through cost savings logistics. Nationally, the cost of logistics charge against the product was 14 % ( 24 % of GDB ). In the end of 2025 ( MP3EI) is targeted to the cost of logistics <10 %. Logistic cost of Sumatra between 15 % to 20 % ( source GPEI ). The infrastructure development is expected to reduce the logistics cost of Sumatra <12 % to support the target MP3EI.
2.
Refers to the average long-term elasticity of infrastructure development, it will increase the value of GDP between Rp 10 trillion to Rp 15 trillion per year or 0.13% up to 0.19% per year.
3.
Increase government revenues as tax revenue
4.
Creating job opportunities between 70 thousand to 138 thousand outside labor during the construction period.
PALEMBANG – INDRALAYA EXIT 1 PALEMBANG
Betung TAHAPAN
KETERANGAN
STA
JARAK
SECTION 1
PALEMBANG – PEMULUTAN
0+000 s/d 7+100
7 KM
SECTION 2
PEMULUTAN – KTM
7+100 s/d 12+000
5 KM
SECTION 3
KTM - SP. INDRALAYA
12+000 s/d 21+930
10 KM
STA 0+000
Jln. Lingkar Selatan Palembang
Kayu Agung EXIT 2 PEMULUTAN STA 7+100
Jln. Palembang – Indralaya (existing) EXIT 3 KTM STA 12+000
Jln Tol K.Agung - Betung EXIT 4 SP. INDRALAYA
Jln Tol Plm - Indralaya STA 21+930 Jln. Lintas Timur
MEDAN – BINJAI
STA 15+380
Tj. Mulia
Binjai Semayang STA 10+870
Semayang – Binjai 4,51 km Main Road Access Road
= 17,1 km = 8,87 km
Helvetia -Semayang 4,95 km
Helvetia STA -1+720 STA 5+920
Medan - Helvetia 7,64 km
BAKAUHENI – TERBANGGI BESAR 1. Access Sunda’s Strait Bridge
: 11 km
2. Bakauheni – Babatan
: 27 km
3. Babatan - Tegineneng
: 59 km
4. Tegineneng - Terbanggi Besar
: 42 km
Seksi III : Tegineneng – Terbanggi Besar
Seksi II : Babatan - Tegineneng
Seksi I : Bakauheni Babatan
Jalan Tol Penghubun g JSS
PEKANBARU – DUMAI
Pekanbaru
17 Km
23,95 Km
9,25 Km Minas
Petapahan
26,3 Km Kandis
29,925 Km Duri 1
25,075 Km
Dumai
Duri 2
Rencana Jalan Tol Dumai – Sp. Sigambal – Rantau Prapat
Kandis Sta 50+200 Duri Utara Sta 106+450
Petapahan Sta 33+200 Duri Selatan Sta 76+500 Minas Sta 9+250
Pekanbaru Sta 0+000
Sta 97+500
Duri Utara “ Sta 25+075
Seksi I : Pekanbaru - Kandis
Seksi II : Kandis – Duri Utara
Dumai Sta 0+000
Seksi III : Duri Utara - Dumai
