Angkasa Pura II Eyeing to Manage 3 Airports in Sumatera

State airport operator Angkasa Pura II (AP2) plans to manage three airports in Sumatra. The three airports were previously managed by the Transportation Ministry’s Directorate General of Air Transportation’s Airport Organizing Unit.

The three airports that will be managed by AP2 are Raden Inten in Lampung, Fatmawati in Bengkulu, and Tanjung Pandan in Bangka Belitung.

AP2 president director Muhammad Awaluddin said through a written statement in Jakarta, Tuesday, 1 January that AP2 will also conduct a strategic partnership for the development of several airports.

These projects include the development of Kualamanu Airport, which will later be used as a hub of the western parts of Indonesia, the construction of a business hub at Pekanbaru’s Sultan Syarif Kasim II Airport, and the expansion of terminals and other airport air sides.

Today, Angkasa Pura II manages 16 airports throughout Indonesia. In 2018, the company served 115 million passengers, an increase of 9.5 percent compared to 2017’s 105 million passengers.

Source: Tempo.co

Jakarta: LCC terminal to attract new airlines

Airport terminals for low-cost carriers (LCCs) are targeted to attract inbound flights from new airlines, especially foreign ones, an airport expert stressed.

«Yes, this is one of the aims. There are still a lot of operating LCCs that are yet to fly into our airport,» said Muhammad Awaluddin, CEO of PT Angkasa Pura II, during a discussion panel in Jakarta, Thursday.

PT Angkasa Pura II is a state-owned enterprise that manages airports in several regions of Indonesia.

Low-cost foreign carriers that are yet to enter Soekarno-Hatta Airport in Jakarta include Viet Jet, Jeju Air, Malindo Air and Nok Air.

Awaluddin stated the concept of low-cost carrier terminal will be materialized during the revitalization process of Soekarno Hatta Airport`s Terminal 1 and 2.

The revitalization of the two terminals is scheduled to be completed in 2022. Some nine million more passengers per year are expected to use them, taking their capacity to 25 million per year.

The revitalization called for an investment of Rp2.7 trillion for terminal expansion and the addition of tools that support the digital concept and smart airport.

«It is scheduled to be completed some three years from now, but the implementation of the concept will be carried out next year,» he remarked.

He further mentioned that Terminal 1 is specifically dedicated to low-cost domestic flights, while Terminal 2 is designated for low-cost domestic and international flights. Terminal 3 is for domestic and fully-serviced international flights, while the use of Terminal 4 is yet to be determined.

«If Terminal 4 is ready, it will be easy for us to make arrangements,» he stressed.

Meanwhile, Terminal 4 itself is scheduled to be built in 2020, and the focus will be on determining its design next year.

Source: Antara News

Indonesia Pins Hopes on Private Sector for Airport Development

In an urgent bid to address overcapacity and modernize existing infrastructure, the Indonesian government has turned to the private sector to fund a series of airport projects across the sprawling archipelago. In recent days, the government has revived talks of a new $10 billion international airport to serve as an alternative to Jakarta’s Soekarno-Hatta Airport, which has operated beyond design capacity for more than 10 years. Authorities have earmarked reclaimed land some nine miles north of Soekarno-Hatta for the project, plans for which call for financing from a private-public partnership scheme between investors and state-owned PT Angkasa Pura II.

Separately, the airport operator has earmarked three facilities in North Sumatra to receive a combined $796 million in upgrades, including Sibolga Airport, Silangit Airport, and Kualanamu Airport. PT Angkasa Pura II has started accepting letters of intent to expand airside and landside facilities at Kualanamu, including the terminal, apron, runway, and hangar.

On the island of Flores in East Nusa Tenggara province, Komodo Airport will start accepting tenders later this month for the operation and expansion of facilities. The $200 million airport project, which falls under the purview of the Ministry of Transportation, would increase the airport’s current capacity from one million to four million passengers per year by 2044.

Meanwhile, at least five airports and four proposed airports have made the government’s list of strategic projects as part of President Joko Widodo’s ambitious infrastructure initiative to bolster economic activity and increase air connectivity between the country’s some 17,000 islands.

Yet, despite ongoing talks to address infrastructure bottlenecks and upgrade navigational equipment and facilities, very few investors have come forward to bring the projects to fruition. Notable exceptions include the Salim group, which signed a memorandum of understanding with PT Angkasa Pura II in 2017 to build a new $150 million airport at Bintan Island in the Riau Archipelago, and Indian conglomerate GVK, which manages the landside facilities at Bali’s Ngurah Rai International Airport

Rather, the majority of infrastructure projects have received their financing through loans and public money, which is creating an enormous burden on Indonesia’s state-owned airport operators.

Indonesia’s infrastructure faces further strain from the constant threat of natural disasters such as flash flooding, volcanic eruptions, and earthquakes, which frequently disrupts airport operations across the nation. In late September, a 7.7 magnitude earthquake caused extensive damage to Mutiara Sis Al Jufri airport in Palu, Central Sulawesi. The airport has since resumed limited commercial operations while it undergoes repairs and facility upgrades.

Source: AIN on line

Indonesia Commits to Developing Low-Cost Airport Terminals

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The Ministry of Transportation has given its support for the development of airport terminals specifically catering to low-cost carriers, as part of Indonesia’s efforts to lower travel costs and boost tourism.

“Be it specialized terminals or airports for low-cost carriers, we will certainly explore the matter further,” the ministry’s civil aviation director general, Agus Santoso, said on Tuesday (24/07), as quoted by Antara.

Indonesia took a cue from Malaysia and Singapore, which have been operating low-cost terminals over the past several years. The two neighboring countries last year attracted 26 million and 17 million foreign tourist arrivals, respectively. Indonesia only managed to attract 14 million.

Low-cost terminals, which provide only basic amnesties, could allow airlines make significant cost savings. This may allow them to offer cheaper tickets and in turn, attract more travelers, Agus said.

“The low costs are derived from minimal services, but we will nonetheless always uphold safety, whether it be for low-cost airlines, terminals, or even airports,” he said.

The country’s largest airport operator, Angkasa Pura II, earlier announced a plan to transform Terminal 1 and Terminal 2 at Soekarno-Hatta International Airport outside Jakarta into Indonesia’s first low-cost terminals.

The terminals are undergoing a massive revamp to update and expand facilities dating back to their opening in 1985 and 1992, respectively. Angkasa Pura II president director Muhammad Awaluddin said the company will use the opportunity to transform them into low-cost terminals.

Awalludin said he will reduce human involvement in low-cost terminal services, which would further trim costs. Terminal 4 of Singapore’s Changi Airport has managed to achieve that by implementing automated machines from the check-in counters, through baggage storage to immigration counters.

“Is Changi low in quality? No. Did Changi abolish many of its functions? No. So we will match that standard,” he said.

Awaluddin said Soekarno-Hatta Airport’s low-cost terminals would further benefit budget airlines currently operating from there, including the country’s largest, Lion Air and Citilink.

Note: Angkasa Pura is the name used by two separate state enterprises of the Indonesian Department of Transport that are responsible for the management of airports in Indonesia. The two companies are PT Angkasa Pura I and PT Angkasa Pura II. Angkasa Pura I has its head office in Jakarta, while Angkasa Pura II has its head office at Soekarno-Hatta International Airport in Tangerang, Banten.

Source: Retailnews Asia