PLN, Atman to build biomass power plant in Sampit

Friday, July 12 2013 - 02:06 AM WIB

State utility PT Perusahaan Listrik Negara (PLN) and private firm PT Atman Energy signed on Thursday a memorandum of understanding (MoU) to develop a biomass-based power plant with a generating capacity of two megawatts

The MoU for the development of the power plant, located in Sampit city of Central Kalimantan, was signed by PLN South and Central Kalimantan (Kalselteng) General Manager Yuddy Setyo Wicaksono, and PT Atman Energy President Director Yoyo Hendrarsin. Also present during the signing ceremony in Sampit on Thursday, was PLN Director Vickner Sinaga.

The biomass-based power plant will be fed with the wastes from oil palm plantations in Sampit regency of Central Kalimantan province.

PLN Director Vickner Sinaga said on Thursday that the electricity generated from the biomass-based power plant will be cheaper if compared to that generated with the oil fuels (BBM). ?It will be also environmentally friendly. It will be fed up with palm oil wastes from oil palm plantations in the area. We hope it will be realized soon,? he said during the signing ceremony.

He noted that the power plant development is part of PLN efforts to support the government program of maximizing the development of new and renewable energy, which are abundant in Indonesia.

PLN General Manager for Kalselteng, Yuddy Setyo Wicaksono, said that the power system in Sampit is still isolated from the power system of Central Kalimantan.

"The peak load in Sampit is now at 24 megawatt,? he said.

"If the biomass power plant start operation with a capacity of 2 MW, PLN can save about Rp 34 billion per year from the conversion of BBM to the biomass. The cost of power generated with BBM is Rp 2,800 per kWh, while the cost with the biomass is at Rp 1,170 per kWh,? he added.

Editing by Benget Besalicto ST

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