Sign Cooperation With KPBU Kediri Airport Owned By Konglomerat's Gudang Garam, Susilo Wonowidjojo, Minister Of Transportation, Please Follow Other Privates

Photo: Doc. Antara/Kemenhub

JAKARTA - Minister of Transportation (Menhub) Budi Karya Sumadi said that the Government Cooperation Agreement with Business Entities (PPP) in Kediri, East Java was officially signed in Jakarta, Wednesday, September 7.

The Minister of Transportation said that the airport in Kediri, East Java was the first airport in Indonesia to be built with pure private financing without using the State Revenue and Expenditure Budget (APBN).

"This is extraordinary, when the private sector builds an airport, so there is no need for a state budget pocket (fund)," said the Minister of Transportation, quoted by Antara.

He revealed that the construction of an airport with the unsolicited KPBU model can be followed by other private sectors. This is also a strategic plan of the Ministry of Transportation, to continue to encourage creative financing for various transportation infrastructure projects in Indonesia.

Furthermore, the Minister of Transportation explained that the existence of the new Kediri airport could be used for commercial, Umrah, and Hajj flights.

"Many people of Kediri and their surroundings want to go Umrah and don't have to go all the way to Jakarta and Surabaya," he said.

He also asked PT Suryo Dha Investama, who is a subsidiary of Gudang Garam owned by conglomerate Susilo Wonowidjojo, and Angkasa Pura I in the operation cooperation (KSO) of the Kediri new airport construction project, to always pay attention to aspects of flight safety and security.

Meanwhile, the President Director of PT Suryo Dhaha Investama who is also the Director of Gudang Garam Tbk. Istata Taswin Siddharta expressed his gratitude to the government, for trusting his party as the initiator of the KPBU unsolicited project at Kediri Airport.

"We also thank the Governor of East Java and the Regent of Kediri for helping smooth the construction of this airport. Hopefully, the presence of this airport will have a positive impact on the economic progress of the community, especially in the southern region of Java," he said.

Based on the results of the procurement that has been carried out, KSO between PT Suryo Dha Investama and PT Angkasa Pura I (Persero) has been declared the winner with a working time duration of 50 years since the airport began to operate.

The total investment value reached Rp10.8 trillion, with details of Rp6.6 trillion in phase I; Rp1.2 trillion in phase II, and Rp3 trillion in stages III.

With this construction, the capacity of airport passengers for Phase I is able to accommodate 1.5 million passengers per year, phase II 4.5 million passengers per year and stage III 10 million passengers per year.

The airport is targeted to operate at the end of 2023 and is projected to be able to serve wide-body aircraft such as the Boeing 777-300ER.