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MEMORANDUM OF UNDERSTANDING
BETWEEN
THE GOVERNMENT OF THE REPUBLIC OF INDONESIA
AND
THE GOVERNMENT OF AUSTRALIA
CONCERNING
PREFABRICATED STEEL BRIDGE PROJECT - PHASE II
IN INDONESIA

MEMORANDUM OF UNDERSTANDING
BETWEEN
THE GOVERNMENT OF THE REPUBLIC OF INDONESIA
A N D

THE GOVERNMENT OF AUSTRALIA
CONCERNING
PREFABRICATED STEEL BRIDGES PROJECT - PHASE II
IN INDONESIA

GENERAL

1•

THIS MEMORANDUM expresses the understandings of the Government of the Republic of
Indonesia and the Government of Australia
concerning the responsibilities and contributions

respectively

of

the

two

Governments in regard to the Prefabricated

Steel

Bridges Project

referred to as the
throughout Indonesia.
The

Project

is

(

hereinafter

Project

)

located

intended assistance to

the · Indonesian Government in its
Construction

Program

prefabricated

steel

together

assistance

with

bridge design,
techniques

as

by
bridging
and

Bridge
supplying
materials

advice

in

construction and erection
further

described

and

detailed in Annex 1 to this Memorandum.

AUTHORITIES

2.

The Executing Authorities

for

this Pro-

ject will be:
For

the

Directorate

Indonesian
General

Government:
of Highways of

The
the

Ministry of Public Works.
For

the

Australian

Government:

The

Australian Development Assistance Bureau
of

the

Department

of

Foreign

Affairs.

- 2 -

The

Australian

Development

Bureau

may

nominate

agents

to

undertake

Assistance

suitably
any

qualified

part

of

its

functions on its behalf.
DURATION

3.

This Memorandum will take effect from the
date

of

its

signature

will be deemed
that date.
The

to

Australian

and

have

the

Project

commenced

contribution

from

to

the

Project and all undertakings given herein
will

cease

3

years

after

the

date

of

signature of this Memorandum or on such
other

date

as

may

subsequently

be

arranged between the two Governments.
PROJECT
ORGANISATION

4.

Responsibility

for

development

and

direction of the Project will be vested
in a Project Co-ordinating Board, whose
chairman

will

be

appointed

Indonesian Government.
Board

will

Leader,

include

who

is

to

by

the

Membership of the

the Australian Team
be

appointed

by

the

Australian Government ' in consultation
with the Indonesian Government.
Membership of
Board will
of

the

the Project Co-ordinating

also

include

Indonesian

referred

to

nominated

in

at

Indonesian

representatives

Government
Clause

the

designated

Embassy,

Jakarta.

above,

discretion

Government,

nominee

2

Ministry

by

as
the

well

of

or
the

as

a

Australian

The Board will meet

not less than twice each year.

•
- 3 -

5.

Functions

of

the

Project

Co-ordinating

Board will include:
(a)

co-ordinating

policy

for

the

Project;
(b)

co-ordinating operation of the project;

(c)

co-ordinating

disposition

of

per-

sonnel and equipment;
(d)

reviewing and reporting on progress
to

(e)

the

two

Governments;

and

recommending to the two Governments
changes

in

program,

budget

and

future development.
RESPONSIBILITY

6.

Overall

responsibility for

this Project

will rest with the Government of Indonesia.
on

The final

authority for decisions

implemen ta ti on

program will
General

of

rest

of

the

with

Highways

agreed

the

after

works

Director
considering

consultations between the Indonesian Project Manager and the Australian Team
Leader.
CONTRIBUTIONS

7.

The contributions of the
Autralian

Governments

Indonesian and

are

detailed

in

Annex 1 and are estimated to value Rp 22
billion and $A 31.21 million respectively.
Disbursement of
tralian
be

the

Governments'

subject

to

the

Indonesian and Auscontributions
normal

will

parliamentary

approval of annual appropriations.

- 4 EVALUATION

8.

An evaluation of progress of the Project
may be made at times arranged between and
mutually
and

convenient

Australian

to,

the

Indonesian

Governments.

Such

an

evalution would be undertaken by a joint
investigation team appointed by the two
Governments

and

independent

of

staff

involved in the Project.
PERSONNEL

9.

For

the

purposes

of

this

Project,

the

Indonesian Government will, in accordance
prevailing
ｷｩｾｨ＠

laws

and

regulations,

facilitate the employment by the Australian Government or its agent of personnel
as required for the Project and established
(a)

between

the

two

Governments

granting exemption from

by:

income or

other taxes on project salaries and
allowances;
(b)

granting exemption from import and
other duties on personal and household effects;

( c)

granting exemption

from

taxes

and

duties on the purchase in Indonesia
of

a

locally

vehicle
that

per

assembled

expert

on

motor

condition

it either be donated to

the

Government of Indonesia or sold to a
person who has the same privileges, or
duty paid on its assessed value at
time of sale within Indonesia.

The

expert's assignment should be on a
long term basis of at least twelve
( 12)

consecutive

months

period;

- 5 -

(d)

granting to Australian project personnel all rights and entitlements
accorded
any

(e)

to

other

expediting

the

aid

donor
the

personnel

country;

issue of

of
and

all

docu-

mentation required for the entry of,
and performance of work by, project
personnel, including work permits or
certificates for eligible persons.
SUPPLIES

10.

(a)

The Indonesian Government will,

in

accordance with prevailing laws and
regulations
import

either

duties

and

exempt
other

from

Central,

State and Regional Government taxes
or pay such duties on all
supplied for the project;
(b)

The

Indonesian

faciliate

goods

Government

movement

of

will

project

equipment and supplies by providing
appropriate

customs

and

wharfage

facilities in the port of entry and
will

be responsible

for

the

expe-

ditious transport of such equipment
and supplies to the sites; and
(c)

Project

equipment

and

supplies

provided by Australia will be available for the unrestricted use of the
Project

and will

not

be withdrawn

from such use without the consent of
the Project Co-ordinating Board.

- 6 -

The Australian Team Leader in consultation with the Indonesian Project Manager will exercise administrative control over such supplies
fo
LIABILITY

11 •

The

the

duration

Indonesian

of

the

Project.

Government

will

be

responsible for dealing with any claims
which may

be

brought

by

third

parties

against Australia and its experts, agents
or Australian personnel and will hold
harmless

Australia

and

its

experts,

agents and Australian personnel in case
of

any claims or

liabilities

from

operations

under

This

provision

will

this

resulting

memorandum.

not

relieve

any

person from liability for any crimical,
grossly negligent or fraudulent aact.
SECURITY

12 •

The

Indonesian

Governrrient

will

arrange

for

any protection deemed necessary

to

ensure the safety of Australian personnel, project and perso.nnel equipment both
at the project location, in transit in
Indonesia and on any other official
representational activity in Indonesia.
The

Australian

reasonable

Government

precautions

to

will

take

ensure

that

Australian personnel have due regard for
local traditions and customs.
SETTLEMENT OF
DIFFERENCES

13.

Any disputes arising out of

the inter-

pretation or implementation of the Memorandum

will

be

settled

amicably

by

consul ta ti on or negotiation between the
two Governments.

- 7 14.

Amendments
made

at

to
any

this
time

Memorandum
by

an

may

be

Exchange

of

Letters between the two Governments.

Annexures 1, 2 and 3 to this Memorandum form an integral part
of it.
SIGNED at
August

Jakarta

in duplicate,

this twenty one

day

' 1984.

FOR THE GOVERNMENT OF
THE REPUBLIC OF INOONFSIA

Signed

Ir. SlJY(H)
ｾ＠

MINISTER OF PUBLIC WORKS

FOR THE GOVERNMENT OF
AUSTRALIA

Signed

F. RAWIXW DAIBYMPLE

AMBASSAOOR

of

ANNEX

1

PREFABRICATED STEEL BRIDGES PROJECT
IX INDONESIA - PHASE II

Division of Responsibilities and Contributions

Australia
(a)

The

Australian

contribution

to

the

project

will

be

approximately $A 31,210,000 spread over the Australian
financial years 1983-84 to 1986-87;
(b)

within the limits of its contribution,
provide

the

following

items

for

the

Australia will
purpose

of

the

agreed construction program:
( i)

approximately 8, 200 metres

prefabricated steel

components as listed in Annex 2,
elastometric

bridge bearings,

together with

launching equip-

ment and associated tools;
(ii)

erection instructions and manuals for the prefabricated steel bridging system;

(iii)

technical support personnel as listed in Annex 3
to provide advic e in:
co-ordination

of

the

program,

including

scheduling of supply of steel to meet agreed
targets;
procurement

and

inspection

bridge design and siting,

procedures;

and construction

(provincial DPU engineers);
prefabricated

bridge

erection

techniques

(contractors);
(iv)

a planned program of training in bridge design
and construction

techniques for DPUP engineers

and training in bridge erection techniques for
cons truct ion contractors.
(v)

accommodation for technical support personnel in
Jakarta.

ANNEX

1

2.

All

bridge

components

and

manual s

supplied

by

Australia for the Project will become the property of the
Indonesian Government on being shipped C. & F. to initial
agreed port of entry in Indonesia.

The Australian Team

Leader will advice the Indonesian Project Manager on the
name of ship and expected date of arrival in Indonesia for
each shipment.

The Indonesian Government will provide the

Australian Embassy, Jakarta with documentary confirmation
of the receipt of the equipment.
Final acceptance and inspection of the bridge package component

will

be

carried

out

at

port

of

entry

by

the

Australian Team Leader and the Indonesian Project Manager.
The prefabricated steel bridge components will be
provided for the construction of bridges in line with the
Indonesian Government requirements as listed in Annex 2.
Supply of components

will

be

made

over

five

6-monthly

supply periods .
The

Indonesian

Government

will

be

responsible

for

con-

firmi n g their requirements for the coming supply period at
least three months in advance.

Further minor modificat-

ions to the lists may be made in consultation between the
Australian Team Leader and the Indonesian Project Manager.
The personnel provided by Australia shall have an
advisory

role

but

final

authority

for

decisions

in

formulating and implementing the agreed work program shall
rest

with

the

Indonesian

Government

after

consultation

with the Australian Team Leader.
The
the

Australian Team Leader

Australian

Ambassador

in

shall nevertheless have final
duties,

discipline,

leave

and

in consultation with

Indonesia

or

his

delegate

jurisdiction in respect of
all

other

administrative

issues concerning Australian personnel and use of passenger
vehicles

provided

by

Australian personnel.

Australia

as

transportation

for

ANNEX

1

3.
Indonesia
(a)

The

Indonesian

contribution

approximately

Rp.

the

financial

Indonesian

to

the Project will
bil 1 ion

22, 000

years'

spread

1984-85

to

be

over
1987-

88;
(b)

the

Director

officer

as

General
Executive

of

Highways

Project

will

appoint

Director

in

an

Jakarta

through whom all communications wi tb the Ministry of
Public Works will be directed;
(c)

within the limits of its contribution, Indonesia will
provide:
(i)

design

and

construction

contracts

for

sub-

structure, superstructure erection and decking
work for bridges listed in Annex II;
(ii)

sufficient

supervisory

staff

to

ensure

that

the above work is carried out to an acceptable
standard;
(iii)

office

accommodation

for

technical

support

the

technical

support

personnel in Jakarta;
(iv)

field

transport

for

personnel;
(v)

a ll

handling,

clearing

and

transportati on

costs at the, and from the, ports of entry to
the

project

sites,

equipment,

macl•ine:--y,

and

goods

other

of

imported

furniture

supplied

to

materials,

and

tbe

fit tings

Project

by

Australia;
(vi)

exemption from,

or reimbursement of, all duty

tax paid in Indonesia by Australia in purchasing equipment and materi als for tbe Project;
(vii)

secure

storage

areas

for

the

prefabricated

steel bridge components with storage conditions which will minimise deterioration or damage
of components during storage;

and

ANNEX

1

4.

(viii) to
for

the Australian Embassy,

Jakarta,

receipts

each consignment of prefabricated

components

accompanied

by

a

list

of

bridge
items

damaged or not received, if any.
It is understood that the Indonesian Govern ment

will

permanent

make

arrangements

substructures for

to

the

design

and

said bridges

construct
listed

in

Annex 2.
Responsibility for the structural soundness and adequacy
of the bridge substructures will rest with the Indonesian
Government.

ANNEX

2

PROGRAM OF BRIDGING REPLACEMENT

Bridging for Phase II is divided up into 5,150 m
of truss bridges (span 30 m bridges (spans 20 and 25 m)

60 m) and 3,080 m of Girder

for erection in the following

provinces:
PROVINCE

TRUSS

GIRDER

A c e h

775

250

North Sumatra

435

285

Wes t Sumatra

390

335

J a m b i

265

295

290

575

295

360

R i

a u

South Sumatra
Lampung

165

East Kalimantan

155
220

South Kalimantan
West Java

280

Yogyakarta

225

West Nusa Tenggara

155

East Nusa Tenggara

465

North Sulawesi

755

Central Sulawesi

665

South Sulawesi

285

310

This indicative program may be adjusted as appropriate (either changing the mix and length of bridging in the
above provinces or the supply of bridging to other provinces)
in consultation between the Australian Team Leader and the

Indonesian Project Manager, in the light of changed priorities.

ANNEX

3

PREFABRICATED STEEL BRIDGES PROJECT
PERSONNEL
Australian

*

Project Director+

1

Team Leaer

1

Bridge Engineer

1

Training Co - ordinator

1

Field/Construction Advisors
First Year

2

Second Year

3

Third Year

1

Short Term Experts
Systems Analyst

1

Other as required
I ndonesia

.,

Project Manager

I

Engineer

2.

Training Co-ordinator

1

Counterpart Engineers from DPUP

as required

Treasurer/Accountant

1

Secretary Typist

1

Administra tion--

as required

Watchman

as required

Australia will also provide the following
Locally-engaged staff to support the Australian team:
Secretary

1

Administration Officer

1

Telex/Typist

as required

Drivers

as required

+

Australia-based.

*

All available for work on Australian contribution.
to Phase II of Concrete Bridges Project an as required
basis.