Sectors Telecom & I.C.T.

Capital value (MM)USD 1,437.86 / IDR 20,680,000.00

Contracting authority Ministry of Communication and Informatics (Indonesia)

31 July 2018 RFQ issued

The Ministry of Communication and Informatics of the Government of Indonesia has launched a tender for the financing, design, procurement, construction, launch, operation and maintenance of a multifunctional government satellite. The total estimated investment of the project is IDR6.58 trillion (US$456.7 million).

The satellite will provide broadband connectivity to 150,000 government-owned sites in the country, which cannot connect to existing Wi-Fi networks due to their remoteness. A High Throughput Satellite (HTS) is seen as the most effective solution to bringing internet to these locations as fiber optics, the choice solution for broadband connectivity projects in Europe, is considered too expensive.

93,900 of these sites are in the education sector (both lower and upper schools), 47,900 have national and local government functions, 3,900 serve defense & security purposes (such as army buildings), and 3,700 are in the health sector.

The HTS to be launched by the selected private partner will have capacity to transmit 150 gigabyte​s per second, more than 100 times the capacity offered by a conventional non-HTS satellite. 

Both Indonesian and foreign business entities interesting in participating in the tender may obtain prequalification documents from the Procurement Committee at the address below until 20 August 2018.

The Indonesian government is aiming to select a private partner and sign the 15-year PPP contract for the project before the end of 2019, indicating a desire to get the satellite launched as soon as possible. The reportedly projected launch time is Q2 2022.

30 May 2019 Select Preferred bidder and reached Commercial Close

Ministry of Communication and Information Technology of Indonesia has selected domestic satellite operator PT Pasifik Satellite Nusantara (PSN) consortium as preferred bidder in the tender for the SATRIA satellite PPP project. The project estimated investment is IDR 20.68 trillion (US$ 1.43 billion).

The project includes financing, design, procurement, construction, launch, operation and maintenance of a multifunctional government satellite named SATRIA. SATRIA will provide broadband connectivity to 150,000 government-owned sites across Indonesia, which cannot connect to existing Wi-Fi networks due to their remoteness.    

PSN consortium will deliver a High Throughput Satellite (HTS) with the capacity to transmit 150 gigabyte​s per second. SATRIA will serve 149,400 service locations consisting of around 93,900 schools, 47,900 government offices, 3,900 police/army offices, and 3,700 health centre’s with internet access speeds of 30 Mbps.

PSN consortium team consists of companies Pintar Nusantara Sejahtera, Pasifik Satelit Nusantara, Dian Semesta Sentosa, and Nusatara Satellite Sejahtera. PSN consortium competed with shortlisted the Djarum Consortium which consisted of Societe Europeenne des Satellites (SES) and Sarana Menara Nusantara Tbk. Originally 9 teams participated in the tender. 

The government has hired manufacturer Thales Alenia Space to build the satellite. 

PSN Consortium signed a Public Private Partnership (PPP) agreement with the Government of Indonesia represented by Ministry of Communication and Information Technology (MCIT) on May 08, 2018.

The manufacturing of the satellite is planned for the end of this year, launch – for the second quarter of 2022, and the service is expected to begin in 2023. 

30 July 2020 SpaceX to deliver Satria Satellite to space in 2023

The multifunction satellite PPP project of Indonesia, SATRIA Satellite, will be delivered to space by US-based aerospace company, SpaceX, in 2023. 

In May 2019, the SATRIA Satellite project is awarded to the Pasifik Satelit Nusantara (PSN) consortium. The High Throughput Satellite (HTS) aims to provide high-speed internet of up to 150 gigabytes per second for about 149,400 service locations. 

10 September 2020

Ministry of Communication and Information Technology of Indonesia has signed a Preliminary Work Agreement with the consortium of Pasifik Satelit Nusantara (PSN) and Thales Alenia Space (a joint venture between Thales – 67% and Leonardo – 33%) for the US$ 550 million SATIRA satellite PPP project – Indonesia´s biggest telecommunications satellite to date. The agreement means the beginning of the activities of the broadband telecommunications satellite.

The concessionaire will be responsible for financing, design, procurement, construction, launch, operation, and maintenance of a multifunctional government satellite named SATRIA. The satellite, which will be located in the 146ºE orbital position, will provide more than 150 gigabits per second throughout the entire Indonesian territory. Dedicated to bridging the digital divide, SATRIA aims to connect around 145,000 areas, including 90,000 schools, 40,000 hospitals and public buildings, as well as regional government headquarters not connected by satellites or existing ground infrastructure. The satellite will contribute to the development of digital infrastructures in Indonesia.

The PSN consortium has formed Satellite Nusantara Tiga (SNT) to be the operating company to carry out the project. SNT’s shareholders are PSN, PT Pintar Nusantara Sejahtera (Pintar), PT Nusantara Satellite Sejahtera and PT Dian Semesta Sentosa (a subsidiary of PT Dian Swastatika Sentosa Tbk). PSN and Pintar are the main shareholders of SNT and both will be main owners in the operating company for the entire life of the project.

Thales Alenia Space will deliver the Very High Throughput Satellite (VHTS) based on its all-electric Spacebus NEO platform and equipped with a fifth-generation digital processor. It will also be responsible for providing two satellite control centre’s (main and backup), the telecommand and telemetry stations and the mission’s ground segment linked to the fully processed payload.

The satellite is expected to be operational and put in orbit by 2023. The project will be financed through export credits from China and France. 

1 October 2020 Financial Structuring

The Asian Infrastructure Investment Bank (AIIB) has approved a US$ 150-million non-sovereign loan to Satellite Nusantara Tiga (SNT) for a multi-functional satellite PPP that will cover 45 million people.

The SATRIA Satellite PPP involves the financing, design, procurement, construction, launch, operation, and maintenance of a multifunctional government satellite named SATRIA. 

With its population of 265 million people, Indonesia is the world’s fourth most populous country. Currently, more than 10,500 villages still do not have cellular network coverage, and fiber optic cables primarily serve only urban areas. The satellite will provide much-needed broadband internet service to more than 149,400 unserved public service points consisting of around 93,900 schools, 47,900 government offices, 3,900 police/army offices, and 3,700 health centre’s with internet access speeds of 30 Mbps at locations in some of the least developed regions of Indonesia.

Initiated by Indonesia’s Ministry of Communication and Informatics, the project is one of the top priorities of the government and aims to provide broadband internet via satellite to government institutions at the fastest speed and at the cheapest price to close the digital divide in the country. 

SNT President Director Adi Rahman Adiwoso said “We at SNT are delighted to have approval from AIIB’s Board of Directors for the financing of the project of the Government of Indonesia. The US$ 150-million long-term financing provided by AIIB is a key part of the fully syndicated financing package of US$ 435 million. We hope to have approval from the French Export Credit Agency, Bpifrance, and Korea Development Bank to provide the balance of the syndicated financing”.

This will be the first satellite PPP project to be supported by AIIB and will be co- financed in conjunction with HSBC, Santander, and Korea Development Bank. Bpifrance is acting as the export credit agency for the debt provided by HSBC and Santander, and for part of the debt provided by Korea Development Bank.

Information sourced from InfraPPPWorld: https://www.infrapppworld.com/project/government-satellite-ppp-project

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