State-run shipyard company PT PAL Indonesia is commencing construction of a 2.5-hectare submarine works and repair facility in the Ujung dock area in Surabaya, East Java, after the government promised to provide US$150
million for the purpose.

During an inspection of warships by the ministry at the PT PAL docks on Friday, Deputy Defense Minister Lt. Gen. (ret.) Sjafrie Sjamsoedin said the submarine project should be completed in 21 months, or by September 2014.

The Indonesian Navy (TNI-AL) expects to have five submarines by 2016 and for the country to be able to produce and maintain its own submarines.

The company will make use of technology from South Korea and Germany at the facility.

The measure is part of the strategic plan for the domestic defense industry.

The government has earmarked Rp 7.9 trillion ($87 million) over the next five years, be it for PT PAL, state arms manufacturer PT Pindad or state-owned aircraft manufacturer PT Dirgantara Indonesia, as well as other private domestic companies to meet the Indonesian Military arms demand, Sjafrie told journalists after the inspection. Rp 1.2 trillion from 2011 until 2012 was assigned for the purpose.

The Defense Ministry has orders in for three tugboats and three 60-meter fast attack missile ships (KCR) from PT PAL and a 105-meter destroy escort (PKR), produced jointly by PT PAL and Damen Schelde Naval Shipbuilding of the Netherlands.

Three submarines are on order from Daewoo Shipbuilding and Marine Engineering in South Korea. Two will be built in South Korea and the third in Indonesia, upon completion of the aforementioned submarine works in Surabaya.

TNI-AL currently operates two submarines built at the Howaldtswerke shipyard in Kiel, Germany — the KRI Cakra 401 and KRI Nanggala 402.

The tugboats will be delivered to the Defense Ministry starting in April next year, while the 60-meter PKR will be delivered in December next year.

PT PAL managing director Mohammad Firmansyah Arifin said work would not begin on the 105-meter destroyer, jointly produced with the Netherlands, until the end of 2014, or early 2015.

“In 2013, we will send our experts to the Netherlands to design and plan the construction of the destroyer escort. They will be there for up to 10 months, after which production will commence,” said Arifin.

PT PAL Indonesia will send over 200 operatives (20 designers and at least 180 production experts) to South Korea, on the submarine project. They will be involved in every stage of construction for the two submarines from the design to the production process.

While the two submarines are being built in South Korea, PT PAL will recruit over 250 new staff and build the submarine facility for the production of the third submarine in Indonesia.

It is expected that by 2024, Indonesia will be able to produce its own submarines to meet the anticipated demand for 12 naval vessels.

Source – The Jakarta Post