Pelindo Transformation Plays A Role In Pressing Indonesian Logistics Fees

Container illustration (Photo: Doc. Antara)

JAKARTA - PT Pelabuhan Indonesia (Pelindo) stated that transformation efforts played a role in reducing logistics costs in Indonesia.

"The merger of Pelindo has created synergy and transformation between entities so that port management can be carried out in a centralized manner, and more optimally," said Pelindo President Director Arif Suhartono quoting Antara.

Arif said, the World Bank noted that logistics costs in Indonesia reached 23.8 percent in 2018.

Meanwhile, based on a study by the National Development Planning Agency (Bappenas), logistics costs in Indonesia in 2023 reached 14.1 percent. Meanwhile, logistics costs for export activities reached 8.98 percent of gross domestic product (GDP).

He said that the logistics costs that were much lower than in 2018 were thanks to the company's transformation role.

On October 1, 2021, the Ministry of State-Owned Enterprises (BUMN) combined four port SOEs into PT Pelindo (Persero).

After the merger, Pelindo then formed four subholdings or subsidiaries.

The four subsidiaries are PT Pelindo Pelindo Terminal Container (SPTP), PT Subholding Pelindo Multi Terminal (SPMT), PT Subholding Pelindo Jasa Maritime (SPJM), and PT Subholding Pelindo Solusi Logistik (SPSL).

"The formation of the four subsidiaries makes a focus on each service field, so that its performance increases. Transformation at the operational level is directly carried out by the subsidiaries," he said.

Arif revealed several steps taken, including shortening dock time (port stay) and container stay at the terminal (cargo stay), uniting service systems and payments through online and digital applications.

The goal is to streamline operations at the port, which will ultimately benefit Pelindo and port and terminal service users.

According to him, the results of this transformation can be seen from the growth in operational performance. The flow of containers in 2022 reached 17.2 million TEUS, up one percent compared to the same period in 2021.

The total flow of goods realized reached 160 million tons, growing 9 percent from 2021.

Furthermore, the total flow of ships served by Pelindo reached 1.2 billion GT, up one percent, while the number of passengers grew 86 percent to 15 million people.

He added that the transformation process through efficiency and resource optimization managed to record a net profit of IDR 3.9 trillion (audited) in 2022, up 23 percent compared to the previous year.

Pelindo's contribution to the state in 2022 also increased, reaching IDR 7.2 trillion or 54 percent higher than the previous year which was only IDR 4.7 trillion.

"This contribution is in the form of dividend payments, taxes (PPh, VAT and PBB), non-tax state revenues (PNBP), and concessions," he said.