3 consortiums pass prequalification for Bali Timur power project

Three consortiums have passed prequalification in the tender for the contract to construct and operate the PLTU Bali Timur coal-fired power plant to be built in the eastern part of Bali Island.

The three consortiums respectively comprise Evonik and PT Indah Usaha Tama consortium; International Power, Sojitz and PT Kerabat Prima Abadi; and Kansai Electric Power Co (Kepco, Indonesia Power, LG, Cogindo Daya Bersama (CDB) and EWP

State owned electricity company PT Perusahan Listrik Negera's (PLN) Director of Planning and Technology Bambang Praptono said on Tuesday that the consortiums should have adequate funding and experience in power projects to pass the prequalification process. The power plant will have two units each with a capacity of 100 megawatt and it is estimated to cost US$200 million to build.

In addition, the consortiums should have recorded at least US$200 million in earning before interest, tax, depreciation and amortization (EBITDA) during the last consecutive years to be able to participate in the next tender process.

The tender for the Bali Timur power project was launched in March this year. But the project was later retendered because only two consortiums had registered themselves until the end of the bidding period in July. According to the regulation, the tender should be joined by at least three bidders.

The three consortiums which had passed the tender would be given three months to submit their bids, he said.

The PLTU Bali Timur which will operate as an independent power producer is scheduled for commercial operation in 2013. ?We hope the operation of the new power plant will be able to cope with the power shortage in the island,? Bambang said. (*)