Govt forms new company to operate Dieng-Patuha power plant

The government has formed a new company to operate its Dieng-Patuha geothermal plant in Central Java, Koran Tempo daily quoted as saying a senior executive of state oil and gas firm Pertamina.

The new firm called Geodipa, which is jointly owned by Pertamina and sate power company PLN, is expected to start operation in 2003, Pertamina?s downstream director Iin Arifin Takhyan told Koran Tempo recently.

Iin said the Dieng-Patuha plant will be ready to produce 60 megawatts (MW) of electricity next year. The capacity will increase gradually to 180 MW, he said.

Iin declined to reveal Pertamina?s stake in Geodipa. PLN president director Eddie Widiono said earlier the two companies were expected to equally own the Dieng-Patuha facility.

The government in 1998 suspended the Dieng-Patuha project and many other power projects in Indonesia after severe economic crisis hit the country.

Initially, the project was jointly developed US energy firms California Energy and Mid American Energy.

The two had filed complaints to an international arbitrational panel about the project suspension. (*)