Construction of Batang power plant to start next month: PLN

Following lengthy delays due to difficulties in completing land acquisition, state-owned electricity firm PT PLN is now optimistic that construction of the planned 2x1,000 MW coal-fired power plant in Batang, Central Java, could finally start next month.

PLN President Director Sofyan Basir said Monday that about 95 percent of the required land has been acquired. He is optimistic that ground-breaking could be carried out next month once the acquisition of the remaining five percent could be completed.

PLN has been assigned by the government to complete the land acquisition process after PT Bhimasena Power Indonesia (BPI), the developer of the project, faced difficulties completing it.

BPI is a consortium comprising of Jakarta listed coal giant PT Adaro Energy Tbk, and Japan?s J-Power Energy Power Development Co. Ltd. and Itochu Corp.

Sofyan said that the US$4 billion Batang power plant project is expected to be completed in 2018. (*)