50 percent of electricity dispute with IPPs settled: Minister

The government, through state electricity company PT Perusahaan Listrik Negara (PLN), has almost settled about 50 percent of its electricity disputes with independent power producers (IPPs), according to Minister of Energy and Mineral Resources Purnomo Yusgiantoro.

"Over 50 percent of negotiations have almost been completed," Purnomo said during a seminar on Lights On/ Lights Out Indonesia's Energy Future in Jakarta on Tuesday.

Separately PLN president Eddie Widiono said that his party had completed negotiations with PT Energy Sengkang, at an agreed electricity price of 4.28 U.S. cents per kilowatt per hour (kWh) and PT Amoseas (Darajat) at a price of 4.2 U.S. cents per kWh.

PLN will start negotiations with Paiton Energy next month to discuss the continuation of interim agreement over the purchase of electricity from Paiton. Eddie said PLN wanted a price of 4,2 cents per kWh for Paiton's power, close to the prices agreed upon with Sengkang and Darajat. But Paiton wanted 5.5 cents per kWh. (*)