No more extension for C. Java power tender bid deadline: PLN

State electricity company PT Perusahaan Listrik Negara (PLN) hopes to announce the winner of the tender for the construction of Central Java coal-fired power plant in June, this year as the tender process is expected to go on schedule.

PLN president director Dahlan Iskan said in Jakarta on Thursday that Friday (today) would be the last day for the bidders to submit their bidding documents. ?We will no longer delay the tender process because if it is delayed it could affect the power supply in the future,? he added.

The Central Java 2 x 1,000 MW coal-fired power plant is offered to independent power producers under a build, operate and transfer (BOT) scheme for 25 years. Dahlan said that PLN would buy the plant?s production under a 25-year power purchase agreement (PPA) contract.

Dahlan said that the power plant which will cost about US$3.2 billion to build would become one of the most important coal-fired power plants in the country not only due to its large generation capacity but also because of the latest technology it will use.

He hoped that the power plant will begin commercial operation in 2017.

The government has issued a guarantee letter through PT PII (Penjamin Infrastruktur Indonesia) to investors willing to take part in the tender for the development of the project. (godang)