Indonesia offers US$13.2b infrastructure projects to China

The offered projects include electricity power plants under the independent power producer scheme and toll roads in a number of regions.
The offered projects include electricity power plants under the independent power producer scheme and toll roads in a number of regions.PHOTO: REUTERS

JAKARTA (THE JAKARTA POST/ASIA NEWS NETWORK) - The Indonesian government has offered various infrastructure projects to China worth US$13.2 billion (S$18 billion) during a recent market sounding event attended by 90 potential investors in Guangzhou, in southern China.

Investment Coordination Agency (BKPM) deputy head of investment planning Tamba P Hutapea said the event was held in cooperation between BKPM and the Indonesian Consulate General in Guangzhou, provincial capital of Guangdong province.

The offered projects include electricity power plants under the independent power producer (IPP) scheme and toll roads in a number of regions.

"The total value of the offered projects is US$13.2 billion," Tamba said in a press release received by The Jakarta Post on Monday (Aug 27).

Tamba said the government, through infrastructure financing guarantee agency PT Penjaminan Infrastruktur Indonesia (PII), could give guarantees for any companies that wanted to take part in the government-to-business cooperation (KPBU) scheme.

"The government invites both domestic and international investors to take part in the government-to-business project," he said, adding that the government's support could be in the form of guarantees as well as fiscal and non-fiscal incentives.

Among the companies that sent representatives to the market sounding event were CCCC Industrial Investment Holding Co Ltd, China Energy Engineering Group Guangdong Electric Power Design Institute Co Ltd, Guangdong Zhiyuan New Material Co Ltd, GD Shengda Investment Group and China Southern Power Grid Co Ltd.

"Some of the companies have expressed interest in investing in the offered projects," said Tamba, adding that BKPM would follow up with the companies that had expressed interest in investing in Indonesia.