Pelni and Pertamina building a cruise ship

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State shipping company PT. Pelayaran Indonesia (Pelni) will team up with Patra Jasa, a subsidiary of state-owned energy company PT. Pertamina, to build a cruise ship, to support the countrys tourism industry.
“We already signed a memorandum of understanding (MoU) to build a cruise ship to support the countrys tourism industry especially in 10 tourist destinations,” head of the Kupang branch of PT Pelni Adrian said here on Saturday.
The ship is being built in South Korea expected to be completed and to be operational in 2018, Adrian said.
Earlier Pelni and Patra Jasa planned to buy a cruise ship, but the plan could not be realized with a regulation banning government agencies including state companies to buy second hand goods from abroad.
“Therefore, Pelni and Pertamina decided to build one that would take a year for completion,” Adrian said, adding the cruise ship would serve transport to 10 tourist destinations recognized by the government.
The ten tourist destinations include Labuan Bajo and under sea destination in Riung, East Nusa Tenggara.
Currently Pelni operates not only passenger ships but it also has ship for the transport of cargoes and livestock and tourists.
Business in passenger transport has declined as most passengers choose air transport which much faster.
“Mr (Ignasius) Jonan , when he was transport minister, once told us that it was time for Pelni to focus on other lines of business, but business in passenger transport continues,” Adrian said.
He said business in tourism industry is growing that cruise ships is important . The government has been more aggressive in developing its tourism industry to make use of the countrys tourism wealth .
The government is set to double the number of foreign tourists visiting the country to around 20 million in 2019.
Questions & Answers
Q.Which entities are collaborating to construct this new cruise ship?
Which entities are collaborating to construct this new cruise ship?
State shipping company Pelni is teaming up with Patra Jasa, a subsidiary of state-owned energy company Pertamina. They have signed a memorandum of understanding to work together on this project.
Q.What led to the decision to build a new cruise ship rather than purchase one?
What led to the decision to build a new cruise ship rather than purchase one?
Pelni and Patra Jasa initially planned to buy a cruise ship, but a regulation prevented government agencies, including state companies, from acquiring second-hand goods from abroad. This prompted the decision to build instead.
Q.Where will the new cruise ship be constructed, and when is it expected to be ready?
Where will the new cruise ship be constructed, and when is it expected to be ready?
The cruise ship is being built in South Korea. It is expected to be completed and become operational during 2018. Construction is anticipated to take approximately one year.
Q.How does this cruise ship initiative align with Pelni's current business strategy?
How does this cruise ship initiative align with Pelni's current business strategy?
Pelni's passenger transport business has declined due to faster air travel. This move into cruise ships for tourism supports a previous suggestion by former transport minister Ignasius Jonan for Pelni to explore other business lines, using the growing tourism industry.
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