Govt prepares incentives for geothermal development
Monday, April 19 2004 - 03:22 AM WIB
The government will provide more incentives for the development of 13 geothermal exploration areas which will be auctioned off to both local and foreign investors this year, Koran Tempo reported Monday.
The secretary of the directorate general of geology and mineral resources at the ministry of energy and mineral resources, Sukhyar, said that the incentives would be given for activities carried out during exploration stage.
In addition, the government can also hire third party to carry out preparatory works for the exploration activities, he added.
The cooperation scheme for the development of new geothermal fields will no longer be based on profit sharing. “The government’s income from geothermal development will only come from tax,” he said.
At present, operators of geothermal fields receive 34 percent of the net income. (*)