Meppogen to build 80 MW-power plant in South Sumatra

PT Pembangkitan Jawa Bali (PJB), a subsidiary of PLN and private company PT Meta Epsi will jointly build a combined cycle power plant with a capacity of about 80 Megawatt in Muara Enim South Sumatra next year, Bisnis Indonesia daily reported on Wednesday.

The two companies will soon establish a joint venture to be called PT Meppogen to build the power plant. The joint venture which will be 51 percent owned by PT Meta Epsi and 49 percent by PT Pembangkitan Jawa Bali will invest about U$50 million to build the new power plant.

"The new power plant will receive gas supply of about 15 million standard cubic feet per day from Medco," said PJB's director for development Susanto Purnomo. "The purchase agreement for the gas supply was signed last month," he said.

He said that PJB would be in charge in the operation and maintenance of the new power plant which would have two generation units, each with capacity of 40 MW. "We hope the new power plant will be able to begin operation in September, next year," he added.

With the operation of the Muara Enim, PJB will operate two power plants in South Sumatra, he said, adding that the first one - PLTG Talang Duku which began operation in the middle of 2004. The power plant which has a capacity of 35 MW was built with total cost of about US$13 million. (*)