News

Tanjung
Priok Port in Jakarta was not on the War Risk blacklist published on 14 June 2018
because it has been declared safe for world shipping by the Joint War Committee
(JWC).

The
Joint War Committee is a non-governmental organization in London composed of
representatives from Lloyds of London Market and the International Underwriting
Association (IUA) which had first included the Port of Tanjung Priok in the War
Risk List in September 2017.

"The
Port of Tanjung Priok has finally been declared a safe harbor by JWC.  This will eliminate additional premium
expenses for shipping businessmen so that Tanjung Priok Port becomes more
competitive," said the Director General of Sea Transportation, R. Agus H.
Purnomo today (25/6).

This
shows the world’s confidence that Indonesia and especially that Tanjung Priok
Port is safe.  "Alhamdulillah,
thanks to hard work and effort the Port of Tanjung Priok, has finally been
eliminated from the War Risk List issued by the JWC.  This demonstrates the confidence of the
shipping world, especially the international shipping world, in the Port of
Tanjung Priok." said Director General Agus.

Director
General Agus also explained that his party deeply regretted that Tanjung Priok
Port had been included in the previous War Risk release because no security disturbance
at Tanjung Priok port had occurred.

"We
sent a protest to the JWC, conveying the data and stressing the fact that the
Port of Tanjung Priok is safe.  Finally,
our protest has borne results and the Port of Tanjung Priok has been removed
from JWC’s War Risk list." said Director General Agus.

Director
General Agus added that with the removal of Tanjung Priok Port from War Risk
List, all Indonesian waters are classified as safe for shipping and shipowners
will no longer face higher premiums.

"This
is a good thing for Indonesia, all ports in Indonesia are declared safe, so
investment opportunity is wide open," said Director General Agus.

In the War
Risk Joint War Committee release dated June 14, 2018, the world is divided into
5 regions in which there are countries or waters that are categorized as war
risks:

• Africa:  Libya, Somalia, Nigeria and Togo
• Indian
  Ocean Region:  the Arabian Sea, the Gulf
  of Eden, the Gulf of Oman and the Red Sea
• Asia:  the Asian region of Pakistan, the Central
  Asia region of Iran, Iraq, Lebanon, Saudi Arabia, Syria and Yemen
• South
  America:  the waters of Venezuela.

The
Government of Indonesia states that the security level for ships and port
facilities nationally is 1 (i.e. at normal security) in its Circular Letter of
the Director General of Sea Transportation number UM 003/12/4 / DJPL-18 dated
31 January 2018 regarding Ship Security Level and Port Facility.

Under
the terms of the International Ship and Port Facility Security (ISPS) Code Part
A.4 and Part B 4.8 – 4.9 and Regulation of the Minister of Communications No.
134 of 2016 article 4 paragraph 1 concerning Ship Security Management and Port
Facility, the Director General of Sea Transportation is the Designated
Authority (DA) responsible for establishing a national level of security for
ships and port facilities in Indonesia.

"Security
level changes can be made at any time according to national and local maritime
security developments and are evaluated 6 months after the last circular.  We are currently conducting the next evaluation,"
Junaidi, the Director of maritime and coastal guard unity (KPLP) is quoted as
saying.

To that
end, Junaidi reminded stakeholders to improve ship security level and port
facilities across Indonesia.

The
Ministry of Transportation’s Directorate General of Sea Communications strives
to ensure that all ports in Indonesia are safe for shipping activities. This is
evidenced by the consistency of Indonesia in implementing the International
Ship and Port Facility Security (ISPS) Code every year since 2004.

In 2017,
the US Coast Guard (USCG) once again provided a positive assessment of the
implementation of ISPS Code in Indonesia which means that ports in Indonesia
are generally safe for shipping activities." Junaidi concluded.

Information
provided by Budd Indonesia

budd.indonsia@budd-pni.com