Government Auction Labuan Bajo Airport Development in March 2018 Featured

10 Feb 2018
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Jakarta  - Transportation Ministry plans to auction the Labuan Bajo  Airport development project in March 2018. The project has an estimated cost of Rp 500 billion and is targeted for completion  in  2020.

Transportation Ministry Budi Karya Sumadi explained, this project will be developed  under  the Government and Business Entities coorperation sceme (KPBU) with a limited concession system.

The Minister said, currently there are many interested potential investors, among others, The Indian GVK conglomerate and  Vinci construction France.

KPBU, this project will not use APBN (State Budget)," Budi said after attending a coordination meeting at the Ministry of Maritime Affairs, on Friday
(8/2).

Budi Said,  Labuan Bajo aiport  is currently operated by the government with a capacity of 500 thousand passengers per year. The current passenger movement at Labuan Bajo airport is about 200 thousand per year with 10 to 15 flights per day.

The government wants to develop further Labuan Bajo  airport  by extending the runway and expanding the terminal. In addition, the government also wants airport service quality upgrades to cleaning and water, additional flight frequencies, and improved access roads to the
airport.

The, airport development is estimated to require the acquisition of 20 to 30 hectares of land. The airport development of Labuan Bajo is in line with the governments mission to make Labuan Bajo  second in line to Bali,  with an estimated tourist arrivals reaching one million to two million per year.

In addition, the government is committed to develop and support facilities such as ports and tourism in Labuan Bajo.

 

Source : CNN

 

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