N. Kalimantan hydro power project to start construction next year

Saturday, September 16 2017 - 01:54 AM WIB


Petromindo|Thomas

North Kalimantan Governor Irianto Lambrie said on Friday that independent power producer PT Kayan Hydro Energy (KHE) is expected to be able to start early next year construction of the initial phase of the planned giant Kayan hydro power plant (PLTA) in the province.

Irianto, however, was quoted by kontan.co.id as saying that it would depend on whether KHE could obtain permit from the Ministry of Public Works to develop the dam.

He was speaking to reporters following a meeting with Coordinating Minister of Maritime Affairs Luhut Binsar Panjaitan and Investment Coordinating Board (BKPM) Chairman Thomas Lembong regarding the planned development of an aluminum industry cluster at Tanah Kuning industrial zone in North Kalimantan by state-owned aluminum producer PT Indonesia Asahan Aluminium (Inalum) and China?s Tsingshan Group.

KHE, which is funded by Chinese investors, plans to develop a total of 9,000 MW of PLTA to provide electricity for among others the aluminum smelters and downstream industries to be developed by Inalum and Tsingshan. In the first phase, KHE plans to build a 900 MW PLTA.

Irianto said that the planned power project would also depend on the projects to be developed by Inalum and Tsinghan. If KHE starts developing the power plant next year, the two latter firms must also start construction of their respective projects in 2020.

As such coordinating and synchronization are quite important. The three companies plan to meet next week in Shanghai to further discuss their projects. (*)

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