PLN asked to reduce power losses to below 9.7%

The government has asked state electricity company PLN to reduce the power transmission loses to below 9.72 percent next year to help improve the company’s financial condition.

Yogo Pratomo, the director general of electricity and energy use at the ministry of energy and mineral resources and energy, said in Jakarta on Tuesday that PLN would be able save a lot of money if it could reduce the power losses.

“PLN can save up to Rp 750 billion for every percent of the power transmission losses it can reduce,” he told reporters following a meeting at the House of Representatives (DPR) building.

According to him, the power losses suffered by PLN has reached above 10 percent. If PLN can reduce the losses to 9.72 percent, the government will be also able to reduce the subsidy to the company which is estimated to reach Rp 38.5 trillion in 2006.

PLN’s director for power transmission Herman Danel said that the large transmission losses were partly due to the illegal uses of the company’s electricity supply in many parts of the country. (dino)