Sunday, December 27, 2009

Soekarno Hatta airport passengers increase 15%

The Jakarta Post , Jakarta Sun, 12/27/2009 9:43 AM Jakarta

The number of passengers flying via Jakarta's Soekarno Hatta airport increases by 15 percent in 2009 to 36 million people, reported Sunday.

By the end of November, the number of passengers already reached 33.78 million people, already surpassing the 2008 number of around 32 million, according to Endang Supriadi, head of the airport's data administration division.

Endang said that the number of passengers flying via the airport's Terminal I, II and III now had already reached over 100,000 people daily, and therefore, by the end of this year, the number could reach 36 million.

"Looking at this trend, we expect that the number could increase by 15 percent by the end of the year," Endang told, adding that the increase was exceeding the airport's earlier projection of 10 percent increase.

Endang noted that the increase was made possible with the availability of more flights to new destinations in the country and the relatively low fares as well as fewer accidents.

The Past Decade in 50 Headlines

The Past Decade in 50 Headlines
By Morgan Housel
December 24, 2009 Comments (16)
(From The Motley Fool.

It all started with a panic …

Y2K Ripple Effect Could Spell Doom for Many Businesses
Business Wire, Dec. 28, 1999

That never happened …

First Business Day of Y2K Uneventful
The Associated Press, Jan. 3, 2000

So the party continued …

Analysts Agree Market Has Only Witnessed Start of Internet fever; No End in Sight for Tech Craze
Morning Post, March 26, 2000

The crazies showed up …

Dow 36,000? Why Stop There? Some Wall Street Pundits Say There's No Limit to How High it Can Go
National Post, Oct. 2, 1999

Lured by riches …

Bill Gates Net Worth Draws Close to $100 Billion
USA TODAY, Jan. 21, 1999

Drowning in denial …

The Stock Market Bubble That Is Likely To Go On Floating
Scotland on Sunday, March 26, 2000

Until sanity prevailed …

Bubble Bound to Burst When the Cash Fails to Materialize
Guardian, March 24, 2000

And the fun ended …

Bubble Bursts: Iron Laws of the Market Bring a Sharp Dose of Reality
Guardian, Dec. 30, 2000 (Nasdaq: AMZN). Cisco (Nasdaq: CSCO). Microsoft (Nasdaq: MSFT). Yahoo! (Nasdaq: YHOO) shares crash. Hangover ensues.

But just when we thought it was over …

Two Planes Crash into World Trade Center in Apparent Terrorist Attack; Tower Collapses to the Ground
AP Newswire, Sept. 11, 2001

Markets panicked …

Wall Street to Remain Closed in Wake of Terrorist Strikes
The Times, Sept. 13, 2001

Adding insult to injury …

•Enron Admits to Overstating Profits by About $600 Million
New York Times, Nov. 9, 2001
•WorldCom Says Nearly $3.8 Billion Hidden in its Books
The Associated Press, June, 2002
•Adelphia Files for Chapter 11 Bankruptcy Protection After Scandal
The Associated Press, June 25, 2002
How'd that all happen?

Enron Was Standard for Deregulation
Copley News Service, Nov. 29, 2001

Oh, that's right.

By now, investors are disillusioned with stock market shenanigans. But no need to worry …

Cure for a Burst Bubble: Another Bubble
National Post, Dec. 20, 2001

O ... K. Where?

New Home Buyers, Don't Fret!; Economy Slows, But Home Sales Are Hot
Toronto Sun, Nov. 2, 2001

Hmm. Tell me more …

Weathering Recession, Housing Market Continues to Roar
The Associated Press, March, 2002

I'm listening …

Fannie Mae Sees No End to Housing Boom
United Press International, Jan. 22, 2002

Sold! And it kept going …

Housing Market Surges to Record Levels
World Markets Analysis, Aug. 27, 2002

and going …

More People are Looking to Remortgage Their Property
Money Management, July 1, 2003

and going …

Home Construction Soars to 17-Year High; October Figures Defy Predictions of Decline
Washington Post, Nov. 20, 2003

And it can't be stopped …

Median Home Price Up 9.1%
USA TODAY, Aug. 27, 2004

Creating all sorts of wealth …

Buyers Turn Rising Equity into Major Spending Tool
Washington Times, Sept. 27, 2005

Fueling all sorts of fun …

'Tis the Season to go Shopping: 5% Surge Expected
FP Investing, Dec. 7, 2005

Until people got nervous …

Steep Rise in Prices for Homes Adds to Worry About a Bubble
New York Times, May 25, 2005

Even this guy spoke up:

Greenspan Is Concerned About 'Froth' In Housing
New York Times, May 21, 2005

(He's extremely observant.)

Home Sales Drop 3rd Month in Row; Market Cooling Off Faster Than Expected
USA TODAY, Jan. 26, 2006

The dam breaks …

Desperation Sets In While Homes Sit for Months With No Offers
USA TODAY, Oct. 26, 2006

And some people asked …

When Does A Housing Slump Become A Bust?
New York Times, June 17, 2007

Maybe when this happens:

Rising Defaults Shut Down Two Hedge Funds; Bernanke Says Subprime Fallout Will Hurt Economy
Washington Times, July 19, 2007

Yeah, that's when you panic …

Mortgage-Backed Securities Spread U.S. Subprime Woes Abroad
USA TODAY, Aug. 14, 2007

And panic we did …

1907 Panic: Subprime Fallout Draws Comparisons
The Gazette, Aug. 10, 2007

Until Ben Bernanke flew in …

Fed Cuts Interest Rate Half Point, Stock Markets Soar
New York Times, Sept. 19, 2007

And before long …

Dow Soars Past 14,000 To Register New All-Time High
The Frontrunner, Oct. 2, 2007

Sweet! Crisis averted.

Cayne Out As Bear Stearns CEO
The Associated Press, Jan. 9, 2008

What … the … heck is going on here?

Bear Stearns Responds to Rumors, Says Balance Sheet, Liquidity, Capital Remain Strong
The Associated Press, March 10, 2008

Phew. Had me worried there.

Shares of Bear Stearns Plummet on Fears Bank is in Danger of Insolvency
The Associated Press, March 13, 2008

Uh … oh …

Bear Stearns Bailed Out by Fed, JPMorgan
The Associated Press, March 14, 2008

Thank you, JPMorgan Chase (NYSE: JPM). Now carry on like nothing happened.

U.S. Stock Rally Fuels Dow Close Above 13,000
MarketWatch, May 1, 2008

See how easy that is?

Taxpayers Take on Trillions in Risk; Fannie, Freddie Placed Under Conservatorship
USA TODAY, Sept. 8, 2008

Crap. Time to stock up on toilet paper …

•Wall Street Chaos: Lehman Bankrupt, Bank of America Buys Merrill
AP Newswire, Sept 15, 2008
•Government Bails Out AIG with $85 Billion Loan
The Associated Press, Sept. 17, 2008
Goldman Sachs (NYSE: GS) and Morgan Stanley (NYSE: MS) prepare to get flushed, when …

Bush Asks Congress for $700 Billion for Bailout
The Associated Press, Sept. 20, 2008

Panic ensues …

U.S. Stocks Slide, Dow Plunges 777 Points
MarketWatch, Sept. 29, 2008

Neurosis ensues …

Dow Ends Up Almost 900 points
The Associated Press, Oct. 29, 2008

We all give up …

Investors Throw In the Towel
Slate Magazine, March 3, 2009

Before long, hope returns …

Stocks Move Higher as Industrial Production Rises
The Associated Press, Sept. 16, 2009

Barriers are reclaimed …

Dow Crosses 10,000
MarketWatch, Oct. 14, 2009

And we end this story …

Dow Jones Industrial Average, Dec. 23, 2009: 10,466

About where we started …

Dow crosses 10,000
Associated Press Worldstream, March 16, 1999

Here's to a more prosperous decade. Happy Holidays, Fools.

Fool contributor Morgan Housel doesn't own shares in any of the companies mentioned in this article. is a Motley Fool Stock Advisor selection. Microsoft is a Motley Fool Inside Value pick. Motley Fool Options has recommended diagonal calls on Microsoft. The Fool has a disclosure policy.

Unprecedented infrastructure development?

Rendi A. Wintular , Jakarta Mon, 12/21/2009 11:52 AM Review & Outlook

For the government’s economic team, 2010 will be a decisive year to demonstrate its competence in settling the accumulation of five years of homework resolving the protracted problems that are stifling infrastructure development.

A set of policies aimed at expediting key infrastructure projects, notably highway and power projects, were unveiled in late October for all levels of government to work on.

Among the policies widely expected next year is a revision of a 2006 presidential decree on land clearance for public interest and a law on the revocation of land ownership rights.

According to Public Works Minister Djoko Kirmanto earlier this month, a revision to the presidential decree would include the halving of the land price negotiation period from 120 days to 60 days. The private sector will also be allowed to start construction of government-initiated projects as soon as 51 percent of the required land has been cleared.

Djoko is optimistic that all land-purchase policies, especially those for toll road projects, can be passed by the end of January. However, revisions to land clearance laws, he said, would take longer as they would need to be deliberated among lawmakers.

According to Djoko, the government’s negotiation team for land clearance will also be overhauled because its members are made up of incompetent officials working for local administrations.

Most infrastructure projects have hit roadblocks as landowners refuse to sell their land at market prices, demanding prices that often reach irrational levels.

Of the 1,000 kilometers of toll road projects linking the Eastern and Western tips of Java, planned in 2004, only around 40 kilometers have been constructed thus far, according to the Public Works Ministry. (Ha ha ha - blogger)

The Central Statistics Agency reveals growth in highway capacity, excluding toll roads, only reached an average of 3 percent annually between 2002 and 2007.

As of the end of 2007, Indonesia only has 421,535 kilometers of road linking its 1.91 million square-kilometers of land.

Analysts have voiced concerns that limited highway capacity — including toll roads — has already created a bottleneck in logistics and distribution of goods, undermining the nation’s competitiveness.

In order for the private sector to feel secure in building more highways, toll roads and power plants, the government is slated to form a company next year that will cover all risks when participating in government-initiated infrastructure projects.

The company, dubbed as PT Penjamin Infrastruktur Indonesia, will function as an insurer to any risk exposed to the private sector.

The company will complement the already established state-run financing company PT Sarana Multi Infrastruktur in managing the construction of infrastructure.

Aside from highway and toll road projects, the government has also pledged to accelerate the development of its first and second phases of 10,000-megawatt (MW) power plants.

Nearly half of the projects included in the first phase could be ready by the second half of 2010, falling short of the target of being entirely operational in 2009.

Among the policies proposed to accelerate construction is a revision to a set of regulations that will eventually enable state-run power company PT Perusahaan Listrik Negara (PLN) to have flexibility in determining the electricity prices purchased from independent power producers (IPPs).

Under the existing regulations, the government is setting a price cap for PLN when negotiating an electricity purchase with the private sector, regardless any impact from inflation and unexpected soaring costs of plant construction.

According to the Energy and Mineral Resources Ministry, only 18 percent of 50 private companies willing to construct power plants have so far secured a deal with PLN and licenses from the government.

Due to the difficulties, several resource-rich provinces are currently under a protracted plague of electricity shortage.

Aside from limited electricity supplies, the business community is also concerned with interruptions in power distribution due to PLN’s already overstretched facilities.

The company, which has a monopoly in electricity distribution, has recently suffered problems in its storage and transmission networks, which has resulted in rotating blackouts in many parts of the country, most notably in Greater Jakarta.

PLN will need an investment of US$933 million to overhaul and expand its transmission networks next year, according to the company’s president director Fahmi Mochtar.

The company, he said, could only provide 78 percent of the funds, with sourcing for the outstanding amount still being worked out.

Critics have said problems in the company’s sagging facilities had actually been noticed by policy makers as long as five years ago. However, no measures have been proposed.

A combination of stiff bureaucratic mentality and poor coordination among ministries and agencies have contributed to sluggish infrastructure development.

Doubts are lingering in the business community over the ability of economic ministers and bureaucrats to resolve the coordination problems, exacerbated by overlapping regulations.

Several key policies to watch for:

1. Policy synchronization for spatial planning.

2. Revision in land clearance regulations and laws.

3. Reform at the National Land Agency.

4. The forming of the risk-mitigating company for infrastructure PT Penjamin Infrastruktur Indonesia.

5. Regulation issued on forest conversion.

6. Revision to government regulations on the use of idle land.

7. Revision to government and ministerial regulations to increase the portion of coal allocated for the domestic market.

8. Revision to regulations related to PLN’s purchase of electricity from the private sector.

Source: The Office of the Coordinating Minister for the Economy

The author is a staff writer at The Jakarta Post.

Sunday, December 20, 2009

Work starts on LRT station

Sunday December 20, 2009

PETALING JAYA: Land clearing work for the main Putra Heights LRT station has started.

A check at the proposed site of the station, which will act as an interchange for commuters using the Kelana Jaya and Ampang lines, showed that the area has been cleared of undergrowth.

Construction of the extended LRT lines is scheduled to begin in March next year.

At least 90% of the public have responded positively towards the proposal since it was first announced three months ago.

The proposed extension plan was displayed for a three-month public viewing at the Department of Railways, the Kuala Lumpur City Hall (DBKL), Subang Jaya Municipal Council, Shah Alam City Council (MBSA) and Petaling Jaya City Council (MBPJ).

The deadline for the public to give feedback on the 34km extension ended on Dec 14.

Syarikat Prasarana Negara Berhad (SPNB) communications general manager Ebi Azly Abdullah said some resident associations wanted some of the new routes and stations to be reviewed, but none objected to the extension.

“Overall, the public agreed that we should build this extended line. Some resident associations from Taman Bunga Negara, Subang Alam, Section 2 and 3 of Putra Heights objected, but not against the extension as a whole. They want the route and location of stations at some parts to be reviewed,” he told The Star.

The Kelana Jaya-Putra Heights extension, estimated to cost about RM6bil to RM7bil, will have 13 stations, starting with Kelana Jaya/Subang Valley, Subang, Subang Jaya, USJ, and Alam Megah before ending at Putra Heights.

The Sri Petaling-Putra Heights line, also with 13 stations, is estimated to cost RM8bil and cuts across Puchong and Kinrara.

Ebi said construction would begin early next year and expected to complete by the end of 2012.

“However, this would depend on the changes that need to be made to some routes based on the feedback and suggestions received from local authorities,” he said.

About Me

A seeker of success (whatever that means) treading on a path, searching, to return to the wholesomeness that was him when he was launched into this big school called Earth.