Two of Indonesia’s state-owned companies—port operator PT Pelabuhan Indonesia III (Pelindo III) and construction firm Adhi Karya—plan to build an IDR2.5 trillion ($256 million) automated container transporter (ACT) that will link Tanjung Perak Port and Teluk Lamong Port, which is currently under construction, in Surabaya, the capital of the province of East Java.
The two firms have concluded a feasibility study of the ACT project, and construction of the monorail is expected to start in the next 12 months.
The 5.6-kilometer single-rail track will be built above the ground to avoid causing traffic bottlenecks in the surrounding area. It will run on electricity to save on fuel.
Teluk Lamong Port, designed to help decongest Tanjung Perak Port, has a construction cost of IDR3.4 trillion and is set to open next year.
Meanwhile, Pelindo II is discussing plans with the provincial government of West Kalimantan to construct a port in the Kijing Beach region of the province.
Noerlan Ferialdy, technical director of Pelindo II, said the port is seen to to meet the logistics requirements of the province and boost its economic growth.