China's geothermal energy could run the country for 260,000 years

Want China Times, Staff Reporter 2012-10-07

A geothermal energy project in Tibet. (Photo/Xinhua)

China holds potential geothermal energy between 3,000 and 10,000 meters below the surface of the earth equal to 860 trillion tons of standard coal, a storage which is estimated to have a lifespan of 260,000 years using current figures for energy consumption.

The Ministry of Land and Resources underwent a national survey on the distribution of geothermal energy over the country between 2009 and 2011, re-evaluating the storage of shallow geothermal energy in 287 cities, geothermal energy in 12 sedimentary basins and 2562 hot springs regions, as well as the potential hot-dry-rock geothermal power at between 3,000 and 10,000 meters below the surface of the earth, reports our sister newspaper the China Times.

The results showed that the total shallow geothermal energy storage is commensurate with 9.5 billion tons of standard coal. The usable part is about 350 million a year, which can save 250 million tons of standard coal and reduce 500 million tons of carbon dioxide emissions in a year if the energy is fully exploited and used.

The geothermal power in sedimentary basins is commensurate with 853 billion tons of coal, while the usable part for a year is equal to 640 tons of standard coal, which can reduce 1.3 billion tons of carbon dioxide emission a year.

The survey found the total geothermal energy stored between 3,000 and 10,000 meters below the surface of the earth is about equal to 860 trillion tons of standard coal, which is 260,000 times China's total energy consumption a year.

Geothermal energy is a kind of renewable energy, originating from the original formation of the earth and radioactive decay of minerals. The ministry said the country is moving slowly to exploit the rich energy and need to push the reusable project soon.

A report by Massachusetts Institute of Technology said the United States only has to exploit 2% of its geothermal energy between 3,000 and 10,000 meters below the surface of the earth, which is able to offer electricity equal to 2,500 times the country's total electricity consumption a year.

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"Recalibration of Free Choice"–  Mar 3, 2012 (Kryon Channelling by Lee Caroll) - (Subjects: (Old) Souls, Midpoint on 21-12-2012, Shift of Human Consciousness, Black & White vs. Color, 1 - Spirituality (Religions) shifting, Loose a Pope “soon”, 2 - Humans will change react to drama, 3 - Civilizations/Population on Earth,  4 - Alternate energy sources (Geothermal, Tidal (Paddle wheels), Wind), 5 – Financials Institutes/concepts will change (Integrity – Ethical) , 6 - News/Media/TV to change, 7 – Big Pharmaceutical company will collapse “soon”, (Keep people sick), (Integrity – Ethical)  8 – Wars will be over on Earth, Global Unity, … etc.) - (Text version)

“…  4 - Energy (again)

The natural resources of the planet are finite and will not support the continuation of what you've been doing. We've been saying this for a decade. Watch for increased science and increased funding for alternate ways of creating electricity (finally). Watch for the very companies who have the most to lose being the ones who fund it. It is the beginning of a full realization that a change of thinking is at hand. You can take things from Gaia that are energy, instead of physical resources. We speak yet again about geothermal, about tidal, about wind. Again, we plead with you not to over-engineer this. For one of the things that Human Beings do in a technological age is to over-engineer simple things. Look at nuclear - the most over-engineered and expensive steam engine in existence!

Your current ideas of capturing energy from tidal and wave motion don't have to be technical marvels. Think paddle wheel on a pier with waves, which will create energy in both directions [waves coming and going] tied to a generator that can power dozens of neighborhoods, not full cities. Think simple and decentralize the idea of utilities. The same goes for wind and geothermal. Think of utilities for groups of homes in a cluster. You won't have a grid failure if there is no grid. This is the way of the future, and you'll be more inclined to have it sooner than later if you do this, and it won't cost as much….”

Local, Chinese Firms Propose Solar Plant Costing $200m

Jakarta Globe, July 19, 2012

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Chinese state company Shanghai Aerospace Automobile Electromechanical and a local solar panel firm, Basel Investindo, have announced plans to build a 200 megawatt solar power plant, with a total investment of $200 million.

The president director of Basel Investindo, Edwin Henawan Soekowati, said Indonesia should be one of the countries with the most potential to utilize solar power, thanks to its tropical climate.

He said Indonesia should be serious in developing renewable energy such as solar power as its oil reserves dwindle.

“Indonesia is now a net importer of oil. Looking forward, fossil fuel is getting more expensive. Now the government is chasing coal, but that will also run out one day. That’s why solar panel technology must be developed,” Edwin said.

He said Basel and SAAE had signed a memorandum of understanding with the directorate general for renewable energy at the Energy and Mineral Resources Ministry. The signing was done at a renewable energy exhibition in Jakarta.

“The Chinese state company has expertise in making solar panels ... this kind of technology suits the need of Indonesia’s rural areas, which have not yet been touched by electricity,” he said.

The $600 million plant will be built in Indonesia’s eastern region.

Edwin admitted that the cost of building a solar-powered plant was more expensive than a coal-fired power plant. He said it would cost $3 million per megawatt of electricity capacity generated from solar panels, while using coal only costs $1.5 million per megawatt.

However, he argued that solar panels were cheaper to maintain.

Apart from Basel, Sharp, Samsung and Infinity are also developing solar panel technology in Indonesia.

Investor Daily

RI, China exploring cooperation on renewable energy

Antara News, Mon, December 12 2011

 Indonesia and China which had a big population were seeking to cooperate on renewable energy to anticipate the depletion of fossil energy resources.

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Jakarta (ANTARA News) - Indonesia and China are exploring cooperation on the development of renewable energy, a cabinet minister said.

Forestry Minister Zulkifli Hasan said here on Monday that Indonesia and China which had a big population were seeking to cooperate on renewable energy to anticipate the depletion of fossil energy resources.

"It is important for the two countries to develop renewable energy in the face of declining fossil energy resources. After all, China has relatively advanced technology on renewable energy, such as technology on the utilization of solar and hydro energy," the minister said.

The minister expressed his hope that the two countries would respectively set up a team to follow up on the results of a meeting between him and a Chinese delegation which was led by Cao Jialin, deputy technology minister at the Chinese Science and Technology Ministry.

Earlier, the forestry minister said that timber estate management and wood pellet product were two business sectors that were prospective for investors.

"Wood pellet as fuel is a renewable energy and environment friendly. This is because it involves a process of planting first and then utilizing it," the minister said.

At present, South Korea is encouraging the utilization of bio mass energy in the form of wood pellets in line with the shrinking of fossil fuel resources.

The problem is that the expansion of timber estate in South Korea faced land limitation problem.

The minister said that Indonesia needed to develop its bio mass energy because besides optimizing raw materials from timber estate the business also could absorb many workers.

Forestry Ministry Secretary General Hadi Daryanto said that there were three Korean investors who had been given permits by the ministry to develop timber estates and wood pellet factory with a production capacity of about 40,000 tons.

"The Korean investors needed large lands for their investment. The proposals that have been tabled cover 200,000 hectares and the ministry has approved 140,000 hectares with an investment of Rp6 trillion," he said.

Editor: Heru

RI, China ink US$6b deal for SE Sulawesi nickel smelter

Esther Samboh, The Jakarta Post, Jakarta, Mon, 09/19/2011

Chinese representatives on Monday signed an agreement with Indonesian officials to invest US$6 billion in a nickel smelter in Southeast Sulawesi.

Jilin provincial government’s Jilin Horoc Nonferrous Metal Group Co Ltd will develop the nickel smelting industry in Bombana and North Konawe regencies of Southeast Sulawesi and work with local firm Billy Indonesia with operations starting next year.

“First of all, mining materials should be processed domestically — no more raw material exports. Secondly, there will be job creation for thousands of people,” Coordinating Economic Minister Hatta Rajasa said after witnessing the agreement by representatives and officials of the related firms, regencies and provinces.

Hatta and Investment Coordinating Board (BKPM) chairman Gita Wirjawan said they expected the project to have a multiplier effect on the regencies’ economies and create jobs for local residents.

China to Invest Rp 22t in W. Sulawesi: Governor

 Jakarta Globe, August 28, 2011

Mamuju, West Sulawesi. China plans to invest Rp 22 trillion ($2.57 billion) in a number of projects in West Sulawesi, Governor H. Anwar Adnan Saleh said. 

“Thank God, West Sulawesi is the only province in Indonesia to receive an investment of Rp 22 trillion from the Chinese government. In the not-so-distant future the investment will be realized. Hopefully, the investment will enable West Sulawesi to make progress and put it on par with other provinces,” he said on Saturday. 

Anwar, who was elected governor of the province in 2006, is seeking re-election in October.   

He said part of the investment would be used to build one of the biggest hydropower plants in Asia, which is expected to supply power to the entire island.

“The hydropower plant will be built in Bonehau sub-district, Mamuju district. The presence of this electrical energy source will be a special pride for the people of West Sulawesi because this region will be free from energy crisis,” he said.

Antara

Chinese state-owned company to build ferronickel industry in Kalimantan

Antara News, Sat, July 23 2011

Kotabaru, South Kalimantan  (ANTARA News) - Chinese state-owned company Dafeng Port Group plans to set up a ferronickel industry in Kotabaru, South Kalimantan with a production capacity of 200 million metric tons a year.

The president director of Dafeng Port Group Co. Ltd., Ni Xiangrong, said here on Saturday the Dafeng Port Group Co.Ltd. has successfully developed an integrated economic zone in China and plan to build a ferronickel industry and its support industries in Kotabaru.

"Why it is Kotabaru. It is because Kotabaru is relatively conducive and rich of natural resources and has quite good infrastructure," he said.

Besides a ferronickel industry Dafeng Port Croup Co.Ltd. also plans to build a coal-powered electricity plant with a capacity of 150 megawatt.

The company also plans to build a vocational school to prepare skilled workers, workshops and other supporting industries.

"At the initial stage Dafeng Port Co. Ltd. will invest around US$240 billion," he said.

He said he had already conducted coordination with the local administration with regard to license and other administrative requirements.

He said he was glad he had received a serious response from Kotabaru district head Irham Ridjani who had said he was ready to cooperate with and support Dafeng Port Group with regard to the plan.

He said Dafeng Group would cooperate with local partner PT Sebuku Iron Lateritic Ores (SILO) with regard to nickel raw materials and coal fuel supply and other supporting facilities.

PT Sebuku Iron Lateritic Ores` operations manager Hendrik said all Dafeng Group`s plans would be realized if PT SILO`s plan to build a coke and other industries in Kotabaru is completed.

"Right now PT SILO is still dealing with an intervention lawsuit from the Kotabaru administration in connection with PT Arutmin`s lawsuit against a mining permit in Laut Island," he said.

PT SILO is still waiting for the ruling of the Supreme Court over the case..

"Hopefully it will come soon and the Kotabaru administration wins so that PT SILO`s plan to build a bridge and an industry in Kotabaru could immediately realized," he said.

Editor: Priyambodo RH

China to build four cement factories in Indonesia

Antara News, Thu, June 30 2011

Jakarta (ANTARA News) - China is planning to construct four cement factories in Kalimantan and Papua with a total investment of 2.35 billion US dollars.

A memorandum of understanding (MoU) on the cement factories development plan was signed by the industry ministry`s Director General for Manufacturing Industry Base Panggah Susanto and a Chinese consortium here Thursday.

The Chinese consortium consists of Anhui Province`s State Enterprise Administration and Supervision Commission Director General Xu Chong Xin, Chairman of Prosperity Group Huang Bing Jun, and Guo Wen San of Anhui Conch Cement Company LTd.

The MoU signing was witnessed by among others Industry Minister Hidayat, Chairman of the Investment Coordinating Board (BKPM) Gita Wirjawan, and East Kalimantan Governor Awang Farouk.

Several projects included in the MoU are among other things a cement factory to be built at Tanjung, South Kalimantan, Toeti Rahajoe, the industry ministry`s downstream chemical industry director, said.

The planned total investment would reach 400 million US dollars, with an initial investment amounting to 250 million US dollar, she added.

The second factory will be constructed at Tanah Grogot (Paser), Sepinang, East Kalimantan, with a total production capacity of 10,000 klinker tons per day. Its investment will reach around 600 million US dollars.

Two other cement factories will respectively be built in Pontianak, West Kalimantan Province, and Papua Proivnce, with investments amounting 600 million US dollars and 750 million US dollars.

Industry Minister MS Hidayat welcomed China`s plan to build the four cement factories in Indonesia as the domestic demand for cement is expected to increase 7-10 percent.

He estimated the cement demand in Indonesia in 2015 will reach 55 million ton, while the total cement productions from the existing nine cement producers are recorded at 53 million tons. The factories are located at Java, Sumatra, Kalimantan, Sulawesi and Nusa Tenggara islands.

"The cement demand in 2010 in Indonesia was 40.7 million tons while production totaled 37.8 million tons. Demand for cement in the future is expected to increase 7-10 percent," he said.

Editor: Priyambodo RH

China agrees to support Indonesia's economic master plan

The Jakarta Post, Jakarta | Thu, 06/23/2011

Indonesia and China have agreed on the establishment of a working committee reflecting China's support of Indonesia's 2011-2025 Master Plan for the Acceleration and Expansion of Indonesian Economic Development (MP3EI).

“The agreement was made when Coordinating Minister for the Economy Hatta Rajasa, a special envoy to the Indonesian president, met with Prime Minister Wen Jiabao in Beijing,” the Indonesian Embassy in Beijing said in a press release on Thursday, referring to a meeting on Wednesday.

The statement said Hatta was accompanied by Indonesian Trade Minister Mari Elka Pangestu and Indonesian Ambassador to China and Mongolia Imron Cotan, among others.

It also said Hatta explained to Wen the MP3EI concept and its key position in Indonesia's economic development policy for the year 2011-2025.

Hatta expressed hope that China will take part in the implementation of the master plan, which has been apparently welcomed by Wen, Antara news agency reported.

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Chinese investors eye infrastructure, energy projects in RI: Govt

Rangga D. Fadhilah, The Jakarta Post, Jakarta | Thu, 05/26/2011

Up to 300 Chinese investors have expressed a strong interest in infrastructure and environmentally friendly energy projects in Indonesia, projects that are hoped to accelerate Indonesia's economic growth, the government says.

According to a press statement made available on the website of the Indonesian Embassy in Beijing, China, Indonesia was seen as an attractive investment destination for Chinese companies aiming to expand their business networks on an international level.

Public Works deputy minister Hemanto Dardak said investment by Chinese companies would assist Indonesia's efforts to boost its economic growth through improved infrastructure and access to energy.

“With their experience, technology and financial strength, investment from Chinese companies will play a pivotal tole in achieving the Indonesian government’s target to accelerate and expand infrastructure development,” Hemanto said in his opening remarks at the Indonesia-China investment forum in Beijing on Wednesday.

Many Chinese big companies including Sinohydro, China Road and Bridge Corporation (CRBC), Gezhouba, CITIC and the China National Offshore Oil Company (CNOOC) joined the forum.

Chinese government offering scholarships to Indonesian students

The Jakarta Post, Jakarta | Tue, 05/10/2011

The Chinese government is offering hundreds of scholarships to Indonesian students looking to engage in undergraduate, graduate and doctoral studies in China beginning in September 2011.

“The Chinese government has prepared several scholarships for several programs through the China Scholarship Council, the Beijing Municipal Commission of Education as well as reputable universities in the country,” Chaerun Anwar, Education Attache at the Indonesian Embassy in Beijing, said Tuesday.

He added that the Indonesian Embassy was planning to provide hundreds of scholarships in 2012 for graduate and doctoral studies.

“The amount and period is still unknown. But, we will put it into action for sure because this is a form of cooperation we have with China in the field of education,” he said as reported by kompas.com.

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Sany to Build $200m Factory in Cikarang

Jakarta Globe, Camelia Pasandaran & Faisal Maliki Baskoro, April 30, 2011

China-based coal mining equipment maker Sany signed a memorandum of understanding (MoU) with Indonesia on Saturday tp invest up to $200 million to build a production base for its heavy machineries in Cikarang, Bekasi.

“Sany is convinced that we're able to sell our products to Asian countries,” said the president director of Sany, Liang Wengen.

“Our market share in the Asian market is still very small, at less than 5 percent. So [through] the investment in Indonesia, we hope we can increase our market share in Asian countries.”

Wengen said the initial injection would be $15 million, with the total investment at $200 million.

“This is going to the biggest investment that Sany has made.”

Sany's plan is part of the Chinese government's pledge to support development in Indonesia and improve the trade balance between the two countries.

Wengen said the factory would play an important role in boosting revenue to 350 billion RMB ($54 billion) in 2015, up from 90 billion RMB target for this year.

"We're not just going to manufacture here, but we will also transfer our technology to Indonesia," he said.

The factory will be located on 10 hectare in Cikarang industrial zone. It will have an annual capacity to manufacture 1,000 units of heavy equipment and is expected to absorb 1,500 workers. Construction is expected to star in July, with operations expected to open in 2012

"We have a passion for Indonesia. Its huge population and low labor cost are also what draw us here. We're optimistic that our operation here will break even in no time," Wengen said.

Sany group started operations in 1989 and currently has factories in the United States, Germany, India and Brazil. The corporation employs more than 53,000 people in more than 120 countries. It's sales last year reached 50 billion RMB.

Agus Cahyana, the secretary general of the Industrial Ministry, said that the government welcomed the new investment would facilitate it by helping the company find the location and providing market data.

Bilateral relations RI, China to cooperate in developing renewable energy

The Jakarta Post, Rangga D. Fadillah, Jakarta | Wed, 04/27/2011

Indonesian and Chinese business owners have affirmed their commitment to strengthening cooperation in developing Indonesia’s renewable energy sector in a bid to help the country reduce dependence on fossil fuels and boost economic growth.

The secretary general for China’s National Committee for Pacific Economic Cooperation, Ambassador Wu Zhenlong, said that as developing nations, Indonesia and China had similar challenges in accelerating their economic growth, particularly in the issue of energy security.

“We’ve the same challenges related to energy issues so it [the cooperation] is to exchange ideas and experiences for the benefit of both of us,” he told The Jakarta Post in an exclusive interview on the sideline of Indonesia-China business meeting in Jakarta on Wednesday.

China had been committed to working with not only the Indonesian government but also private companies to increase energy supply from renewable resources such as wind, water and solar power, he added.

“The prospect of renewable energy businesses in Indonesia is very bright, considering the country is rich with resources. The two countries can do a lot of things together,” he said.

Ambassador Wu led an entourage comprising Chinese businessmen to meet with Indonesia’s stakeholders in several business sectors, including tourism and renewable energy. The visit aimed to seek new areas of cooperation, he said in his opening remarks at the meeting.

“This meeting will be a great venture to expand the two countries’ bilateral relations,” he said.

Ambassador Wu claimed that China had considerable competence in the renewable energy sector through its long journey in developing wind, hydro and solar power plants in the country.

“Between 1950s and the 1970s, we focused on hydro-power projects to provide electricity for our people. 

In 1980, we started to develop solar, wind and other renewable energy,” he reported.

Currently, he revealed, China’s wind power plants had a total capacity of 4,000 megawatts. The country was also well-known as the number-one producer of solar panels in the world, he added.

In 2020, China plans to build more wind power plants to reach a total capacity of between 15,000 and 20,000 megawatts. The country is also eager to improve its solar and hydro power plants’ capacity to over 5,000 megawatts and 30,000 megawatts respectively that year.

Ambassador Wu claimed that China currently utilized domestic resources in boosting its renewable energy utilization. All technologies used in renewable energy projects were developed by local firms, he added.

The chairman for Indonesia Committee for Pacific Economic Cooperation, Jusuf Wanandi, welcomed the commitment of Chinese business delegates expressed by Ambassador Wu.

“I hope this meeting isn’t the last. We’re looking forward to haveing other forthcoming meetings to tighten the Indonesia-China bilateral cooperation,” he said in his opening remarks.   

Pacific Economic Cooperation Council (PECC) is a tripartite network of 26 member committees comprised of senior individuals from business and industry, government, academic and other intellectual circles dedicated to the promotion of regional cooperation and dialog.

PECC is a non-governmental official observer at the Asia-Pacific Economic Cooperation (APEC) forum.

Dutch and Chinese businessmen wish to invest in East Kutai

Antara News, Sat, April 23 2011

With regard to the interest, Ardiansyah Sulaiman said he already had discussed the matter with the Dutch ambassador to Indonesia to facilitate them if they come to East Kutai

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Sangata, East Kalimantan (ANTARA News)- A number of Dutch and Chinese investors wished to operate in various sectors in East Kutai.

"Dutch and Chinese investors had become interested in investment in coal in the regency, which was also expressed by the Dutch Ambassador to Indonesia," East Kutai Deputy Regent H.Ardiansyah Sulaiman said here Friday.

Four businessmen have expressed interest in investment, namely from the Netherlands in mining, iron ore, in addition from China in marine and agricultural sectors, and another one in making documentary films.

Ardiansyah Sulaiman said the Dutch and Chinese businessmen expressed their interest when they met in an exhibition and an exhibition in The Hague early in April 2011.

"With regard to the interest, Ardiansyah Sulaiman said he already had discussed the matter with the Dutch ambassador to Indonesia to facilitate them if they come to East Kutai," he said.

"In this context, the East Kutai administration will improve the roads and airport," he said.

Editor: Aditia Maruli

Huawei gets Indonesia submarine deal

Global Telecoms Business, 07 March 2011

Huawei is to build a submarine cable across the Straits of Malacca between Malaysia and Indonesia

Huawei Marine Networks has been awarded a contract for the Batam-Dumai-Melaka submarine cable project linking Malaysia and Indonesia. Huawei will offer end-to-end turnkey submarine system solutions for the project.

The BDM project will consist of a cable system across the Straits of Malacca between Melaka, Malaysia and Dumai and Batam, Indonesia. The cable route will have eight pipeline and sea-cable crossings. The new system will provide bandwidth improvement for Malaysia and Indonesia.

The 300 kilometre cable will have a capacity of 80 gigabits a second. The project is expected to be completed by the fourth quarter of 2011.

Telekom Malaysia, Indonesia’s XL Axiata and infrastructure provider Moratel will build the system.

The advanced transmission technology and the support from Huawei’s parent, Global Marine Systems, will allow the system to bring high-capacity data communications to Malaysia and Indonesia in 2011, said Huawei Marine CFO, Zhou Jin. GTB

News Focus: Japan trying to keep RI out of China`s growing influence

Antara News, by Vicki Febrianto, Thu, February 17 2011

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Jakarta (ANTARA News) - Japan is trying to keep its long-time friend Indonesia free of China`s growing economic influence as Tokyo is convinced that Jakarta is a strategic economic co-player.

"The visit by a Keidanren delegation to Indonesia earlier this week is an alternative step taken by Japan to face China`s growing influence here," said Sofyan Wanandi, chair of the Indonesian Businessmen`s Association (Apindo), on Wednesday.

Wanandi said Keidanren is very influential in the Japanese economic system due to the fact that it is a solid grouping of the country`s industries. Thus, whenever Keidanren sends a big delegation to any country personally led by its chairman, those in the know would understand the significance of the visit.

Accompanying Keidanren chairman Yonekura Hiromasha during the visit were Keidanren board of councillors chairman Watari Fumiaki, Mitsubishi Corp.Vice Chairman Sasaki Mikio, Dai-ichi Life Insurance Vice Chairman Morita Tomijiro, Toray Industry Vice Chairman Sakakibara Sadayuki, Mizuho Financial Group Vice Chairman Maeda Terunobu and Mitsubishi Heavy Industries Vice Chairman Tsukuda Kazuo.

Wanandi said that Tokyo had been quite aware of the fast growing economic ties between Indonesia and China which has grown at the rate of 25 percent annually since 2001. Jakarta-Beijing bilateral trade has been projected at 50 billion US dollars by 2014 with the 2010 trade figure already reaching 35 billion dollars.

According to Wanandi, Jakarta however would not that easily leave Japan to become close to China considering the fact that Japan had strongly supported Indonesia in its various stages of economic development since the 1960s.

"I think Indonesia can take advantage of this recent approach by Japan. Indonesia can try to attract more investment from Japan," said Wanandi who nevertheless reminded the Indonesian government to shape up and improve the infrastructures so that investments would flow in more smoothly.

In a similar vein, the Indonesian Institute of Sciences (LIPI`s) economic observer Latif Adam noted that the visit by Keidanren was a form of recognition from Japan that Indonesia really is of strategic importance to Tokyo economically. Japan viewed Indonesia this way as it has been facing acute economic woes.

Adam said that Keidanren was an association of at least 100 major corporations and what was more important, Keindanren was always included in decision-making for investment, export and import policies taken by the Japanese government. Taking the fact into consideration, Indonesia could therefore take advantage by getting into Japan`s global production networking.

China`s Advances

Keidanren had agreed to focus on five main economic fields in its cooperation with Indonesia. "They are committed to development while focusing on five main fields," Economic Coordinating Minister Hatta Rajasa said after a meeting with the Keidanren delegation at his office on Monday.

The five main fields were transportation infrastructure such as railroads, marine ports, airports, roads and economic corridors in Java. In addition, the Japanese side was interested in energy supplies from renewable sources such as geothermal and low carbon emissions coal.

"They will also cooperate in any necessary fields that are related to industrial expansion, especially outside Java Island which are to be connected with ports," said Minister Rajasa, who welcomed the delegation. The Japanese delegation had earlier made courtesy calls on President Susilo Bambang Yudhoyono and Vice President Boediono.

In a more general perspective, according to available data, Japanese firms still have more investment in Indonesia than in any other Southeast Asian country and presently there are around 1,000 Japanese companies operating in Indonesia employing some 300,000 local staff.

The Indonesian Investment Coordinating Board (BKPM) calculates Japanese firms have invested more than 40 billion dollars in Indonesia in the last 30 years but inflows have steadily fallen dramatically since 1997.

This reflects a relocation of existing Japanese investment from Indonesia to neighboring countries due to a diminishing comparative advantage in labor costs and concerns over the country`s institutional and physical infrastructure, according to observers.

The total trade volume between China and Indonesia were projected to have reached 40 billion dollars in 2010. Bilateral trade from January to October 2010 has reached 33.75 billion dollars, a 53.6 percent increase compared to same period in 2009.

China and Indonesia is increasing 25 percent per year, because China saw Indonesia as a strategic partner, according to Zhang Qiyue, Chinese ambassador to Indonesia, in a seminar late in 2010.

To date, China`s investment in Indonesia has reached the level of 35 billion US dollars since diplomatic relations between the two countries resumed in 1990. Trade and investment have kept increasing steadily in terms of volume and value, observed Makmur Kellat, a China watcher.

Both countries also signed a strategic partnership in 2005 in which cooperation (not only in the economic but also the culture and defense sectors) was included in the agenda to strengthen existing relations.

Other efforts are also underway to sustain the impressive achievements in trade, investment and energy cooperation, for example, through trade fairs and regular meetings between the business community and policy makers.

Almost no one doubts that Japan, the United States and Europe`s role in investment in Indonesia can be overtaken by China, Kellat said.

With the view to building roads, bridges, ports and the energy sector, it is no wonder government institutions in Jakarta dealing with foreign investment are very keen to tap into China`s massive foreign reserves.

Editor: B Kunto Wibisono

Sarinah to begin exporting cassava

Antara News, Sun, February 13 2011 

Jakarta (ANTARA News) - State-owned company PT Sarinah is increasing the number of its trade commodities by purchasing cassava from farmers and exporting it for cattle fodder to China.

PT Sarinah President Director Jimmy M Rifai Gani said here on Sunday that his company was buying cassava from farmers in Central Java`s Cilacap district to meet the need for the commodity from China.

"So far, we have actually planned to export it to South Korea which will re-export the commodity to China. We have not yet met importers in China," he said.

He said that his company would sign a contract agreement with an importer from South Korea. "The first shipment is expected to be carried out in April with a volume of 5,000 tons worth Rp10 billion," he said.

PT Sarinah, he said, will export 5,000 tons of cassava every month to China through an importer in South Korea.

Jimmy said that China had demanded for 13,500 tons of cassava for cattle fodder per month but for the time being his side could only met half of it because his firm had not yet found suppliers at home.

"That is why we are trying to find suppliers in other regions. We will look for ones in Lampung province," he said.

He said that in the long run PT Sarinah will develop cassava farmers in regions so that they would be able to provide supplies for the export needs."This is because most of cassava plantations are cultivated in small scales," he said.

Editor: Aditia Maruli

Chinese firm to fund Rp 1,5 t road project in Mamuju

The Jakarta Post, Jakarta | Fri, 01/21/2011

China Metallurgical Group Corporations has expressed interest in financing a road construction project worth Rp 1.5 trillion (US$165 million) in Mamuju, West Sulawesi, the regional Chamber of Commerce and Industry (Kadin) says.

After a meeting with a delegation of Chinese firms, West Sulawesi Kadin chairman Harry Warganegara told reporters on Friday that the meeting was a follow-up to the Memorandum of Understanding (MoU) signed in 2010 by the Chinese and Indonesian governments with regards to the funding of future development projects in West Sulawesi.

“This particular Chinese investor is ranked eighth in the world. It’s subsidiary has the large capital to fund the project,” said Harry as quoted by antaranews.com

The Chinese delegation recently proposed a blueprint for the project, which is estimated to begin mid-April 2011. West Sulawesi Governor H Anwar Adnan Saleh attended the presentation.

The decision will rest on the result of the feasibility study that is currently being conducted by the Chinese investors.

China to build seaports and airports in Papua

Nani Afrida, The Jakarta Post, Jakarta | Mon, 01/03/2011

Nine Chinese companies are interested in building seaports and airports in Papua and West Papua, an official said in Jakarta on Monday.

“Chinese ambassadors will bring nine Chinese companies to Papua and West Papua on Jan. 5 to see directly what kind of transportation investments would be feasible there,” Transportation Minister Freddy Numberi said, adding that the governors of Papua and West Papua would also present investment opportunities in the provinces.

According to Freddy, the companies have shown interest in Sorong, Biak, and Jayapura, with the port in Jayapura likely to only handle containers.

“This is in line with the need of investment in Papua and West Papua,” he said.

He added that some Chinese investors might refurbish airports in Manokwari, Timika, Biak and Sorong.

“We plan to upgrade those airports to become international ones,” Freddy said.

HK allocates US$50 billion for investment in RI

Antara News, Friday, December 31, 2010

Jakarta (ANTARA News) - The Hong Kong government has allocated US$50 billion for its investment in Indonesia until next year, an Indonesian diplomat said here.

"Indonesia must be able to provide various facilities so that the investment funds will not go to other countries instead," Teguh Wardoyo, Indonesian consul general in Hong Kong said on Thursday.

He said that up to now about 34 billion dollars had been absorbed while the remaining 16 billion dollars had not yet been absorbed.

Indonesia, he said, is still an important part of the government and businesspeople in Hong Kong. After all, Indonesia`s market potentials are big in line with the progress of the infrastructure in Indonesia.

"This matter was acknowledged by a number of quarters in the business sector in Hong Kong," he said.

Nickel processing plant to be built in SE Sulawesi

Antara News, Saturday, December 25, 2010

Kendari (ANTARA News) - The Southeast Sulawesi provincial administration established cooperation with foreign and national companies to build a nickel processing plant in the region.

"The cooperation is contained in a memorandum of understanding between Jilin Horoc Nonferrous Metal Group Ltd of China and PT Billy Indonesia on December 15, 2010," Southeast Sulawesi Governor Nur Alam said here on Thursday.

Nur said under the MoU, Jilin will keep 100 million US dollars at Bank Pembangunan, Southeast Sulawesi office, before building a stainless steel plant.

He said the cooperation is aimed at managing the nickel potential in the region, including southeast Sulawesi, and the potential in the thousands of hectares of mining fields under the control of PT INCO but still unprocessed.

He said the cooperation is an implementation of Law No 4 of 2009 on mineral and coal mining which does not export the mining products in the form of basic material.

"Thus we no longer export ferro nickle in its raw material, but after processing first, so that it produced a relatively high added value," he said.

This cooperation is expected to boost the region`s income in the form of tax and provide employment to locals, and therefore beneficial to the government and for the welfare of the people, especially those living near the mines, without harming the environment.