Fiscal incentive planned for power plant project

The Ministry of Finance is drafting a new regulation to lift the import duty on machinery and equipment for power plant development, Bisnis Indonesia reported on Thursday.

The paper quoted ministry senior official Heru Pambudi as saying that new regulations are also being drafted to transfer the authority in issuing the planned fiscal incentive to the Investment Coordinating Board (BKPM) as part of the latter's "one stop services" for permitting process.

Heru said that the exemption of the import duty and the streamlining of permitting procedure at BKPM are expected to help accelerate power plant development in the country particularly to help meet the target to build a total of 35,000 MW power plants until 2019.(*)