Urging for Self-Operating JICT and TPK Koja Terminals, Unions to Take Rally Action for One Month

Labor Union of Jakarta International Container Terminal (SPJICT), supported by other unions representing port and transportation sector in Indonesia, will take rally action on protesting the contract extension of Hutchison Port Holding (Hong Kong) in the two leading container terminals in Tanjung Priok – the JICT and TPK Koja.

Titled Save JICT-Koja, the action will take place in front of the office of Ministry of State Owned Companies (BUMN) for one month (beginning today, December 17).

Referring to the audit conclusion by the state auditor (BPK), the union says that such extension contracts are violating the Indonesian laws and regulations.

The SPJICT press release said that PT Pelabuhan Indonesia II/IPC (under former President Director RJ Lino Management) did not include the extension contract into RJPP (long-term corporate plan) nor RKAP (corporate work and budgeting plan).

In addition, the extension contract process was not transparent.

“The process and mechanism was not transparent and there is an indication of abuse of authority. The management of both (JICT and TPK Koja) has never considered the option of self-managing these terminals,” said SPJICT General Secretary M Firmansyah.

Firmansyah said that based on the BPK audit, the state potential loss from these extension contracts reaches more than Rp 6 trillion.

According to Firmansyah, the operation of these Indonesia’s leading export import gateways should be based on the spirit of Indonesia’s economy system as expected by the constitution, not on the liberal economic system.

“Now, the liberal economy system has been playing key role in the operation of terminals in Tanjung Priok, the JICT in particular. The system has created a very bad practice in JICT. The workers have improved their productivity, supporting this terminal to be the best in Asia. But, unfortunately, the management has fired them massively. The management also is continuously running the outsourcing system that actually breaks the law and regulation,” he said.

Hence, the SPJICT is urging the government to cancel the contract extension and to self manage those terminals.

The contract between HPH and Pelindo II in JICT and TPK Koja actually will end next year (2019).

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