A. Minutes of Meeting l2VO=RDiW
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Minutes of Meeting (Principles) ua|qL! L+
on the Implementation of Jatigede Dam Project @]3(l
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the Ministry Of Water Resources <Cg;l<$`b
of the People’s Republic of China a(x[+ El
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the Ministry of Public Works y^;qT_)#
of the Republic of Indonesia "Y(S G
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In pursuance of the common understanding reached between the leaders of the two countries; mKe{y.
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Considering the Parties have the intention to accelerate and to smooth the implementation of the Jatigede Dam Project (Jatigede Project); OUI}jJw+
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Referring to: Cf`UMQ a
1. the exchange of note between Ministry of State for National Development Planning / Chairman of National Development Planning Agency and H.E. (His Excellency) Ambassador of the People’s Republic of China, No. 4328 / M.PPN/09/2005 dated September 12th, 2005 , and No. 0569 – 05 dated August 23rd, 2005;
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2. the Agreement regarding the utilization of credit from the Government of the People’s Republic of China (PRC) to the Government of the Republic of Indonesia (GOI) between the Export-Import Bank of China and the Ministry of Finance of the Republic of Indonesia, July 28th, 2005; $XyGCn
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In view of the Ministry of Water Resources of the People’s Republic of China has rich experiences in the development and implementation of the large water resources projects and good knowledge about capabilities of Chinese contractors and consultants; D|e 6$O5o
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The delegation from Ministry of Public Works of the Republic of Indonesia (MPW) visited the Ministry of Water Resources of the People’s Republic of China (MWR). HS(<wI
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MPW and MWR met on the date December 22nd, 2005 and agreed as follows: ,l0s(Cg
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Referring to the utilization of the Preferential Export Buyer’s Credit from PRC for the implementation of the Jatigede Project, MPW requested MWR to recommend at least three qualified candidates of Chinese Contractors. e% 5!
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MWR mentioned that Sinohydro Corporation Limited owns 70% of China’s Premier-Class (above A-class) water and hydropower EPC contractors. It is also the only Premier-Class contractor with project experiences in Indonesia. In order to accelerate the implementation of Jatigede Project and to get a quality project, and to take into consideration of other relevant factors, MWR recommends Sinohydro to execute the Jatigede Project. The integrated Joint Operation of contractors (the JO), which is established by a Chinese contractor, i.e. Sinohydro, and a consortium of Indonesian contractors (the Consortium), is appointed as the Contractor to implement the Jatigede Project. The consortium of Indonesian contractors will be nominated by MPW. |I OTW=>
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MPW indicates the sharing portion in the JO shall be 51% for the Chinese Contractor (Sinohydro) and 49% for the Indonesian Contractors (the Consortium). MWR proposes 70 % for the Chinese Contractor (Sinohydro) and 30 % for Indonesian Contractors (the Consortium), and MWR encourages the Chinese Contractor (Sinohydro) to utilize the local resources as much as possible (at least 30%). However, the sharing portions in the JO, the project execution model and local subcontract percentage shall be discussed and finalized by the Chinese Contractor (Sinohydro) and the Indonesian Contractors (the Consortium). But the final sharing portion of the JO shall be approved by MPW and the concerned Chinese Authorities. tCc}}2bC&
To accelerate the implementation of the Jatigede Project, a Cost Estimate and other documents for the Construction Contract are required urgently. Therefore, MPW will review the qualification of Sichuan Water Resources and Hydroelectric Investigation & Design Institute (SWHI), which already started to prepare for the Jatigede Project. If satisfied, MWP will appoint SWHI as the consultant of the Jatigede Project. Otherwise, MWR will recommend other 2-3 Chinese A-class consultants for MPW’s selection, which shall cooperate with an Indonesian consultant. Appointment will be made as soon as possible. ;A-Ef
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This Minutes of Meeting is done at Beijing, on this 23rd day of December, 2005, in Chinese and English languages. This Minutes shall enter into force from the date of signature thereof. PU-~7h+$
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IN WITNESS WHEREOF, the undersigned the authorized representatives, have signed this Implementation Minutes. ioa 1n=j
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Minister of Water Resources Minister of Public Works #(
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of the People’s Republic of China of the Republic of Indonesia