Indonesia Power pays debt to Bukit Asam

Power company PT Indonesia Power has paid most of its Rp 780 billion arrears to the state-owned coal mining firm PT Tambang Batubara Bukit Asam, according to the Indonesia Power Firdaus Akmal president.

Firdaus said Wednesday that the remaining arrears was ?less than Rp 100 billion.?

Indonesia Power, a subsidiary of the state-owned electricity company PLN, purchases coal from Bukit Asam to power its generators.

Meanwhile, Bukit Asam president Ismet Harmaini said that he had yet to check whether the money had entered into the company?s bank account.

But he expected that in the future, Indonesia Power could make the payment on time.

He promised that Bukit Asam would improve its service particularly in the area of transportation in order to meet delivery schedule.

He said that the poor transportation system had caused the company to be unable to meet 2001 coal production target.(*)