Geothermal tariff set at US$0.115 per kWh
Tuesday, May 20 2014 - 02:45 AM WIB
The Ministry of Energy and Mineral Resources (MEMR) has set higher price of electricity produced from geothermal projects in a bid to lure investors into the sector.
Bisnis Indonesia daily quoted Director of Geothermal at the ministry, Trisnaldi as saying Tuesday that the new tariffs are set at between US$0.115 per kWh and $0.296 per kWh. The previous tariffs were set between $0.10 and $0.185 per kWh.
Trisnaldi said that the tariff, which will be fixed and final for 35 years, will be set depending on the schedule of the commercial of operation of the project, and also depending on the location of the working area of the geothermal project.
He added that investors in geothermal projects will also be required to put up a guarantee funds worth US$10 million to make sure they will be serious in developing the projects. (*)