China Machinery, partners to develop power plants in Dumai
Friday, April 4 2014 - 02:45 AM WIB
The 3 x 150 megawatt (MW) coal-fired power plants in the so-called Pelintung Dumai Industrial Area will start construction in July. Construction is expected to be finished by April 2018.
?The power plants will provide electricity for plants in the industrial area as well as for households,? said BEP president director Harijono during a press briefing in Jakarta on Thursday as quoted by The Jakarta Post.
Chinese companies have expressed interests in investing in Dumai, a major ferry port with connections to Malaysian cities, but hesitated due to electricity shortages, according to CMEC deputy general manager Yaejun Chao.
?Dumai has an industrial complex but is experiencing an electricity shortage. We hope the area will have enough electricity with the new power plants,? said Chao.
Of the total energy produced by the power plants, 245 MW will be provided for factories operating in the area while the remaining will be distributed to households in Riau.
The electricity will be sold at Rp 900 (0.7 cents)-Rp 1,200 per kilowatt-hour (KWh) for companies.
?For the distribution to households, we will later cooperate with [state-owned electricity firm] PT PLN and the price will be determined by them,? said BTN president commissioner Muhammad Ma?shum.
CMEC will provide financing and a technology package of engineering procurement and a contribution (EPC) contract on a mutually acceptable repayment arrangement upon project completion.
Meanwhile, coal for the power plant will be supplied by BTN from its mining sites in Kalimantan and South Sumatra. BTN will supply 3.2 million tons of coal per year to get the power plant running.
PT Biidzinillah Tambang Nusantara Indonesia is owned by Al-Ishlah Islamic Boarding School, based in Bondowoso, East Java, and was founded in 2006 by Ma?shum. (*)