MEMR drafts new scheme to determine geothermal electricity tariff

The Ministry of Energy and Mineral Resources (MEMR) is drafting a new scheme to determine tariff of electricity from new geothermal power plant projects, Kontan.co.id reported on Friday.

The news portal quoted Director of Geothermal at the ministry Yunus Saifulhak as saying that the new scheme, called sliding tarrif, will help accelerate development of geothermal power plant projects in the country.

He said that geothermal power plant projects have been hampered by lengthy negotiation between developers and state owned power firm PT PLN.

Yunus said under the plan the government will introduce a tariff table linked to the power plant capacity.

He said the new scheme will be included in a new MEMR decree to be issued following the issuance of a new government regulation on geothermal, the draft of which has been sent to the state Secretary for approval by President Joko Widodo.(*)