PLN allocates Rp 8.9 trillion for western Indonesia

State electricity company PT Perusahaan Listrik Negara (PLN) plans to spend up to Rp 8.9 trillion (US$=Rp 9,025)in new investment for the development of electricity facilities in western part of Indonesia this year, the company?s president director Dahlan Iskan has said.

Dahlan said during a visit to Lampung Friday that about Rp 6.25 trillion of the total investment plans would be financed with PLN?s internal funds, while the remaining Rp 2.65 trillion from the state budget.

He said that the investments would be used mostly for the construction of distribution facilities to support the operation of new coal-fired power plants in the region.

The power plants include PLTU 2 Sumut-Pangkalan Susu (2x220MW), PLTU Kepulauan Riau-Tanjungbalai Karimun (2x7 MW), PLTU Sumar-Teluk Sirih (2x112 MW), PLTU 3 Babel-Bangka Baru (2x30 MW), PLTU 4 Babel-Belitung (2x16,5 MW), PLTU Lampung-Tarahan Baru (2x100 MW) and PLTU 1 Kalbar-Parit Baru (2x50 MW).

Dahlan said that in order to speed up the construction of the projects, the company?s board of directors had promised to issue the required investment permits much earlier.

?Beginning, this year, the investment permit will be issued in January,? he said.

PLN offices in provincial level rely on the issuance of an investment permit from the PLN directors to begin electricity projects in their respective areas.

In the past years, the investment permits were issued at the end of the first quarter. The late issuance of the permits had often caused a delay in the project because the PLN office in charge of the project would still need more time to prepare for the tender process before starting the projects. (giok)