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State companies ready to build Sunda Strait bridge project JAKARTA - Minister for State Enterprises Dahlan Iskan said two state construction companies have the capability to build the 30-kilometer bridge spanning the sea between Java and Sumatra in the Sunda Strait. The two state construction companies are ready to carry out full feasibility studies of the US$25 billion project, Dahlan said here on Tuesday.

He said he had invited the two companies to make their presentations. "Their presentations and concepts are complete," he added refusing to name the companies. So far the government has delayed decision to build the project over how the mega project is to be financed.

It is either to finance with fund from the state budget or to be financed by investors or the private sector through tender. Dahlan said he tends to choose the use of state fund to build the project, adding it would not be too difficult for the government to raise the fund to finance the project.

The government already named a consortium as tender winner to carry out feasibility study of the project. Last year it was reported, the government was to sign a cooperation agreement with the initiators of the project to provide a legal basis for the initiator, the Banten-Lampung consortium, to carry out feasibility study and basic design, which is to be completed in two years.

The consortium consists of companies owned by the provinces of Lampung abd Banten and Artha Graha Network, which is owned by tycoon Tommy Winata through PT Bangungraha Sejahtera Mulia and Wiratman and Associates

Public Works Minister Djoko Kirmanto said the ministry is in the final phase of drafting the cooperation agreement between the government, the consortium, and its partner PT Bangungraha Sejahtera Mulia .

Earlier planning consultant Wiratman & Association estimated the project, which includes development of areas in both ends of the bridge will cost US$25 billion. The government had said construction of the project will take around 10 years.


Related blog entry (category 'Infrastructure') Related blog entry (category 'Infrastructure'):
20 February 2013 · House to summon governor over coastal reclamation plan

Related blog entry (category 'Infrastructure') Tags: Sunda Strait Bridge, project, construction


Posted in Infrastructure @ 30 July 2013 22:35 CET by Blog Bot · 'Blog' RSS feed · permalink






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