Geothermal investors await revision of Finance Ministry regulation: PLN
Thursday, May 12 2011 - 02:07 AM WIB
Investors in the country?s geothermal sector are currently waiting for the revision of the Ministry of Finance regulation No. 77/PMK.01/2011 before they would realize their investment plans, state electricity company PLN said.
Mochamad Sofyan, the head of PLN?s division for renewable energy and conservation, said in Jakarta on Wednesday developers were still negotiating with the finance ministry on the expansion of the guarantee coverage.
He said that due to high risk of the geothermal projects, developers had asked the government to also provide guarantee in exploration stage because under the existing regulation the guarantee will be given only on construction stage of the projects.
The geothermal projects currently being negotiated include Rajabasa in Lampung, Muara Labuh in Jambi and Sokoria in Ende, East Nusa Tenggara, he said. ?The negotiations have reached the final stage,? he added.(lucky)