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Transportation Ministry Grants Lelilef Port Consession to Weda Bay Port
September 11, 2024The Transportation Ministry, through its Sea Transportation Directorate-General has officially granted concession rights towards Weda Bay Port to manage port service business activities at Lelilef Port in Lelilef Village, Central Weda District, Central Halmahera Regency, North Maluku Province through Transportation Ministerial Decree No. KM 54 of 2024.
The signing of the Port Service Business Concession Agreement at Lelilef Port was carried out by the Class II Weda Port Management Unit (UPP) Office Head Febrianto D. Iskandar and Weda Bay Port President Director Xiang Binghe. The signing was was witnessed by Sea Transportation Director-GeneralCapt. Antoni Arif Priadi in the Sriwijaya Meeting Room at the Office of the Transportation Ministry on Aug. 6, 2024.
Capt. Antoni explained that Lelilef Port is designed to support the Indonesia Weda Bay Industrial Park (IWIP), an integrated industrial area included in the list of the country's industrial sector National Strategic Projects.
"Lelilef Port is projected to be able to accommodate the delivery and receipt of oceangoing and domestic ships. These ships will transport important materials for IWIP, such as raw materials, factory materials and equipment, power plant materials and equipment, construction materials, as well as coal with a maximum capacity of 3.6 million tons per year," he explained.
it is hoped that the concession will lead to an increase in concession income from Weda Bay Port to the government, raising the latter's non-tax revenue accordingly. The project is also expected to improve connectivity, develop maritime infrastructure, and drive economic growth for the people in Central Halmahera Regency and North Maluku as a whole.
"I hope that UPP Weda and Weda Bay Port can implement this concession in accordance with applicable regulations. In addition, it is also important to collaborate with the surrounding community and local government to advance the local economy," Capt. Antoni concluded.
The concession granted to Weda Bay Port includes the provision of ship services, provision and service of goods, and other services in a concession area of about 42,000 square meter (m²). The concession is valid for 40 years, with a concession fee of 5 percent of Weda Bay Port's gross revenue.