In order to encourage private participation in providing infrastructure for the Government Cooperation with Business Entities (KPBU) scheme, PT Penjaminan Infrastruktur Indonesia (Persero)/PT PII together with the Ministry of Transportation (Kemenhub) and the Singkawang City Government, West Kalimantan carried out Market Interest Assessment/Market Sounding activities to Singkawang Airport project in Jakarta on Monday (30/10).

The Market Sounding event was attended by the Main Director of PT PII - M. Wahid Sutopo, Special Staff to the Minister of Transportation for Funding and Finance - Otto Ardianto, Acting. The Mayor of Singkawang, represented by Assistant II of the Singkawang City Regional Secretariat - Sutiarno, Assistant Deputy for Government Investment Cooperation and Business Entity Ministry of Maritime and Investment Coordinator - Hari Kusmardianto and filled with speakers regarding the Singkawang Airport PPP project from the Indonesian Ministry of Finance, the Indonesian Ministry of Transportation, PT PII and related K/Ls as well as investors.

The Singkawang Airport PPP Project, which is located in Pangmilang Singkawang Selatan, West Kalimantan, is planned to be built using a Design Build Finance Operate Maintain Transfer ("DBFOMT") scheme with a concession period of 32 years (2 years construction period and 30 years operation period), and using the User Charge scheme as a return scheme.

The President Director of PT PII, M. Wahid Sutopo said that PT PII has been given the trust of the Indonesian Ministry of Finance, the Ministry of Transportation and the Singkawang City Government to provide Transaction Preparation and Assistance Facilities / Project Development Facilities (PDF) for the Singkawang Airport project which is the first airport project in Kalimantan which uses the PPP scheme in its implementation.

"Airports are one of the infrastructures that have an important role in national development where airports are one of the main supporting elements for connectivity through air transportation which is increasingly needed by the community. "Therefore, we are committed to providing support for the aim of meeting the basic needs of the community, supported by adequate infrastructure, facilities and utilities in encouraging increased productivity and competitiveness in the international market, especially for the West Kalimantan region," said Sutopo.

He also added that as a Government Guarantee provider, PT PII always shows that the PPP scheme is a very effective strategy and solution in achieving development targets more quickly and of course with good governance. "Through today's market sounding, it is hoped that many potential investors will be interested so that this project can be implemented immediately. "PT PII is ready to provide guarantees to specifically support the Singkawang City Government program in accelerating economic growth, especially in West Kalimantan with the construction of Singkawang Airport through the PPP scheme," added Sutopo.

Meanwhile, the Special Staff of the Minister of Transportation for Funding and Finance, Otto Ardianto, said that this Market Sounding activity aims to obtain input, responses and interest in the PPP from potential investors, banking, insurance as well as market players and other stakeholders as regulated in the Ministerial Regulation National Development Planning/Head of the National Development Planning Agency which has just been revised with Ministerial Regulation Number 7 of 2023 concerning Implementation of Government Cooperation with Business Entities in Providing Infrastructure.

"Currently we have started and implemented the construction of Singkawang Airport through SBSN, APBN and CSR. "The Ministry of Transportation and PT PII have also collaborated to organize, synchronize and update the legal, technical and financial aspects of the Final FBC document so that it can then be offered to potential investors and related financial institutions in the Market Sounding activity this morning," said Otto.

Otto also added that the Singkawang Airport Project is one of the infrastructure projects that has comprehensive funding and financing instrumentation. The ongoing construction of Singkawang Airport is through SBSN by the Directorate General of Civil Aviation. Meanwhile, CSR from donors is also ongoing and in accordance with the completion target, namely at the end of 2023. Meanwhile, the operational target at the beginning of 2024, and beyond, will be a PPP project in the context of the Brownfield Project.

"The progress of implementing the Singkawang Airport PPP is currently in the process of completing the PPP preparation stage, with the output of the Final Pre-Feasibility Study or Final Business Case ("Final FBC"). "So, from here we hope that there will be colleagues or partners from investors who will be present to become our partners in the Singkawang Airport PPP project," said Otto.

In his speech, Acting. The Mayor of Singkawang, represented by Assistant II of the Singkawang City Regional Secretariat, Sutiarno said that one of the biggest advantages of Singkawang City is that it is a tourist destination city, so it is often referred to as a tourism city. Tourist visits in Singkawang City from 2023 to September will be 1,416,723 domestic tourists and 6,989 foreign tourists, so it is hoped that planning for the construction of Singkawang Airport can be a step that must be realized in Singkawang because it can balance domestic and foreign visits and increase economic growth. and also increase the movement of currents between islands.”

"Thank you to the Ministry of Transportation and PT PII for carrying out this Market Sounding so that it is hoped that it can accelerate the development of Singkawang Airport," concluded Sutiarno.

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