Bukaka ready to withdraw its suit provided there is a deal with govt, PLN

The management of PT Bukaka Teknik Utama has expressed its readiness to withdraw its lawsuit against the government and state electricity company PT PLN and settle their dispute over the high voltage transmission line project out of the court provided that they could strike a deal on Bukaka's involvement in the project, Neraca daily reported on Tuesday.

Bukaka president and chief operating officer Achmad kalla said his company would be prepared to revise down its prices for the construction of the Klaten-Tasikmalaya high voltage electricity transmission line.

"Anyhow, we also see the interests of PLN customers, especially those in Southern part of Java island. And for Bukaka itself, if the project could resume, it means we will get works, and it means we will be able to pay our workers," Achmad Kalla said.

Bukaka sued the government and PLN over the latter's cancellation of Bukaka's winning of the Klaten-Tasikmalaya transmission line project. Bukaka has won the battle in the district court and the appeal level, and was confident that it would win this case in the Supreme Court as well.

Minister of Energy and Mineral Resources Purnomo Yusgiantoro suggested recently that the government was pursuing out of court settlement with Bukaka to solve their dispute so that the construction of the transmission line could be completed on time and the transmission line could transport electricity from East Java to West Java in year 2004 at the latest.

According to PLN operational director Tunggono, if the Klaten-Tasikmalaya transmission line could not be completed by year 2004, electricity produced from private power producers in Paiton, East Java, and Tanjung Jati, Central Java, would be useless, as it could not be distributed to customers in other areas.

The construction of the Klaten-Tasikmalaya high voltage transmission line could not resume yet as Asia Brown Boveri (ABB) of Switzerland as the winner of the second tender for the construction of the transmission line would not start its works until there is a final court ruling on the lawsuit from Bukaka against PT PLN over the transmission line.

Achmad Kalla said Bukaka would let the government and PLN decide on the fate of Bukaka's involvement in the Klaten-Tasikmalaya project.

"In principle, Bukaka is ready to construct the postponed transmission line project. If there had been no problem, the project should have been completed by year 2002. Now we all know, that the project has been postponed for a year," he said.

Separately, PLN president Eddie Widiono said PLN negotiation with Bukaka had almost reached a final agreement. However, he refused to provide further details. (*)