Syahrial Ali's Blog

Since last Tuesday, the BWA auction has been started and finished yesterday. Below are the  result.

As can be seen, each region has 2 winners as there are two block available for this auction. The total price is IDR 458,414b. This price is about 9 times of reserved price which is only IDR 52,132b. Congratulation to all of the winners.

21 companies will start to compete in getting the BWA license in 30 regions in Indonesia. The e-auction will start today, July 14th, 2009 and will finish in July 16th. Each day, each participant needs to submit their bid between 09.00-11.00 am, by using a specific user name and password through an IP address as registered by each participant.

Actually, each day is divided into three section, namely submission at 9-11am, calculation section at 11am – 1pm, and announcement section at 1pm. As written several times, each participant can bid in more than one region and each region contains 2 licenses.  So, the maximum winner will be 30 companies.

For the first submission, each company shall bid above the reserved price. Most companies will see the first bid by other competitors, however as a tactical matter, they will not bid for a high price for the first time. The real competition will start from the second submission. Happy competing!

PT. Indonesia Comnets Plus (ICON+), a national electric company (PLN) subsidiary has succeeded in winning the two remaining USO packets, namely packet no 4 and no 5. The packets no 4 consists of North Sulawesi , Gorontalo, Central Sulawesi, West Sulawesi, South Sulawesi, South East Sulawesi, Maluku and North Maluku. While the packet 5 consists of Papua and  West Irian Jaya.

In packet 4, ICON+ was competing with Indonusa System Integrator Prima, while in packet 5 ICON+ is only participant. ICON+ won the contract for IDR 274b (USD 270m) and IDR 455b (USD 450m) for packet 4 and packet 5 respectively.

When the last 2 packets have been assigned, it means all USO packets have been tendered out. Below are the winners of the other 5 USO packets which all are won by Telkomsel.

Paket 1 consists of Aceh, North Sumatera and West Sumatera in the area of Sumatera. Winner: Telkomsel, price: IDR 553b.

The packet-2 consists of Jambi, Riau mainland , Riau islands , Bangka Belitung Islands , Bengkulu , South Sumatera, and Lampung . Winner: Telkomsel, price: IDR 333b

Packet 3: Kalimantan area, consists of West Kalimantan, Central Kalimantan, East Kalimantan and South Kalimantan. Winner: Telkomsel, price: IDR 365b

Packet 6 consist of Bali, Nusa Tenggara Barat and Nusa Tenggara Timur. Winner: Telkomsel, price: IDR 209b.

Packet-7 consists of Banten, West Java, Central Java, DIY and East Java. Winner: Telkomsel, price: IDR 201b.

Out of 73 interested companies, only 21 are qualified to follow the next step of BWA tender process. When the reserved price announced, only 23 companies returned the document and 2 0f them are incomplete. Tender process is entering the crucial moment when companies are requested to bid their price for each region they are interested in. As we know, there are 15 regions in all over Indonesia.

In each region, there are 2 blocks with maximum 2 winners. So, the maximum total winners are 30 companies. However, each company can bid for more than 1 region, hence the winner will be less than 30. Moreover, not all regions are attractive for investors.

It seems all participants have big opportunities to win in any region.  List below is the companies which will compete in auction process.

1. PT. Telkom.
2. PT. Power Telecom.
3. PT Jasnikom Gemanusa.
4. PT Indosat
5. PT Internet Madju Abad Milenindo.
6. PT Indosat Mega Media.
7. PT Sejahtera Globalindo.
8. PT Internux.
9. PT Centrin Online.
10. PT Global Komunika Dewata.
11. PT First Media.
12. PT Bakrie Telecom.
13. PT Jasnita Telekomindo.
14. PT MSH Niaga Telecom Indonesia.
15. PT Berca Hardayaperkasa.
16. PT Citra Sari Makmur.
17. PT Tigatra Komunikatama.
18. Konsorsium PT Batam, Bintan Telekomunikasi dan PT Cyberindo Aditama.
19. Konsorsium Moratelindo Teleglobal.
20. PT Rahajasa Media Internet atas nama Konsorsium Wimax Indonesia.
21. Konsorsium PT Comtronics Systems dan PT Adiwarta Perdania.

Good luck for all.