Indonesia Infrastructure Smart Port Development
As Indonesia advances through the complexities of the Fourth Industrial Revolution, its port sector is rapidly adopting the smart port concept to enhance performance and operational efficiency. Central to this transformation is the digitization of port operations through advanced systems like Inaportnet, SIMLALA, SIMPADU, and the National Logistics Ecosystem (NLE). These innovations aim to streamline logistics processes, boost efficiency, and strengthen Indonesia’s maritime infrastructure, positioning its ports as leaders in modern maritime operations.
Smart ports in Indonesia are increasingly leveraging Internet of Things (IoT) devices, such as sensors and wireless technologies, to optimize service efficiency and enhance operational capacity. Key Indonesian ports—including Kuala Tanjung, Cikarang Dryport, Tanjung Priok, Semarang Container Terminal, and Teluk Lamong—have initiated smart technology upgrades. However, the differences in implementation practices highlight the need for standardized approaches to maximize effectiveness. Technologies such as automation systems, cargo tracking, real-time asset location, remote-controlled cranes, Automated Guided Vehicles (AGVs), drone inspections, and robust cybersecurity measures are essential in achieving port efficiency. In addition, Batu Ampar Port is being developed as a smart port and International Transshipment Port (ITP) with support from the Batam government, leveraging its strategic location and available space for terminal construction. Collaboration with technology providers will integrate logistics services into a unified application, aligning Batu Ampar with global Port 4.0 trends and significantly enhancing cargo handling efficiency.
State-owned port operator Pelindo is spearheading efforts in port digitalization. In 2023, Pelindo introduced automatic gates at 13 ports, building on its earlier success with cashless system implementations at ports like Banten, Tanjung Pandan, Sunda Kelapa, Banjarmasin, and Gresik. The initiative aims to equip 59 ports with automatic gates by the end of 2024, enhancing transparency, boosting operational efficiency, and combating corruption—aligning with broader efforts to strengthen governance in Indonesia’s port sector.
The Corruption Eradication Commission (KPK) and the National Corruption Prevention Strategy (Stranas PK) are instrumental in driving improvements in port governance, focusing on digitalization to enhance service quality and prevent corruption. Their initiatives have led to the digitalization of 14 major ports between 2022-2023, with plans for expansion to 246 ports by 2024. Furthermore, the NLE system has been rolled out across over 2,000 specialized terminals, reinforcing the emphasis on efficiency and transparency within the logistics sector.
Despite these advancements, there is a critical need to upskill port personnel in IT capabilities, as training opportunities remain limited. Expanding training programs focused on port technologies is essential for building a skilled workforce capable of executing digital innovations effectively. For U.S. companies, this evolving landscape presents substantial commercial opportunities. As Indonesia continues with its smart port initiatives, American firms specializing in technology, infrastructure, and logistics solutions have a favorable environment to contribute and expand their market presence, influencing the region’s maritime development.
The U.S. Commercial Service is here to help U.S. companies identify opportunities and establish partnerships in Indonesia’s smart ports sector. To learn more, please contact Commercial Specialist Helda Sitorus (Helda.Sitorus@trade.gov)