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Jakarta Post

Pelni may cancel German ship purchase, turn to local products

News Desk (The Jakarta Post)
Jakarta
Mon, June 12, 2017

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Pelni may cancel German ship purchase, turn to local products Students carry out a field study at Bandar Deli Port in Medan, North Jakarta, where a ship owned by state-owned ship operator PT Pelni is docked. (Antara/ Irsan Mulyadi)

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tate-owned shipping operator PT Pelayaran Nasional Indonesia (PT Pelni) is mulling plans to purchase ships from local builders to replace their old fleet, as the cost of vessels manufactured by German shipbuilder Meyer Werfl – with whom the firm have signed an agreement – is not financially feasible.

 “We are considering several choices [for a reasonable price]. We may turn to local products that may be jointly built with other foreign ship builders,” Pelni president director Elfien Guntoro said after a meeting in Jakarta on Monday as reported by tempo.co.

Pelni has signed a memorandum of understanding (MoU) with Meyer Werfl to buy both passenger and cargo ships. The MoU was signed during President Joko "Jokowi" Widodo's visit to Germany in April 2016.

The price of Meyer Werfl’s ships stand at about 70 million euros (US$78.48 million), while Pelni is seeking to buy vessels priced at 50 million euros, Elfien said.

“The [Meyer Werfl] ships are good, in fact, too good,” he said, adding that his company needed three ships to replace the ones that have operated for more than 30 years.

The new ships will operate the Jakarta-Surabaya-Makassar- Baubau-Ambon-Sorong route. (bbn)

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