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The Expansion of Bali's Benoa Port as a Cruise Terminal

US$543 million Deal with Korean Consortium will Double Port Size and Create 5-Star Accommodation Complex at Benoa Harbor.

(8/24/2008) NusaBali reports that Bali's Benoa Port will soon be enlarged to cover an area of 80 hectares by dredging shallow areas of the harbor currently inaccessible to shipping.

Benoa's current useable port area is 40 hectares while experts claim a port of 120 hectares is needed to provide access for international cruises ships.

Heskiel Sasian, the General Manager of PT Pelabuhan Indonesia III Benoa - the management authority for Benoa Harbor, defended the port expansion program saying it was in accordance with the master plan of the provincial government of Bali and the target of the Department of Culture and Tourism to increase the role of cruise tourism.

The development of Benoa would provide a convenient cruise terminal with a location just minutes from Bali's international airport the Island's main tourism areas.

Plans for the development of the Benoa port has reportedly commenced with the signing of a cooperation agreement with a consortium of 6 South Korean companies. Under the terms of that agreement the Korean partners will provide Rp. 3 trillion (US$326 million) for the development of port infrastructure and another Rp. 2 trillion (US$217 million) for the construction of 5-star accommodation and a traffic flyover.

Heskiel told NusaBali that the Department of Culture and Tourism has already provided Rp. 500 million (US$54,500) in funding that have permitted changes in the port basin in order that ship of up to 260 meters can now call on Benoa.