Fate of stalled power plant project in Maluku remains uncertain

The fate of stalled 2x15 MW coal-fired power plant project in Salahutu District, Central Maluku Regency, Maluku Province, remains uncertain since its contractor suspended the project in March of last year due to financial difficulties.

Head of the Energy and Mining Office in Maluku, Martha Nanlohy was quoted by Kompas saying Monday that the local administration has reported the fate of the Rp 800 billion project to the Office of the State Minister of State-Owned Enterprises since last year, but there has been no follow-up yet.

He said that the power plant project is crucial to help meet power demand in the region.

Then contractor PT Saktimas Mulia started construction of the power plant in 2010, and was supposed to complete in 2012.

The company suspended the project in March of last year after completing about 76 percent of the targeted construction works due to financial problems, said Julian Sitanggang, General Manager of state-owned electricity firm PLN Maluku branch.

PLN plans to takeover the project, but it remains unclear when it would realize it. (*)