PLN blamed for delay in C. Kalimantan power project
Thursday, June 25 2009 - 02:00 AM WIB
Central Kalimantan provincial administration has strongly criticized state owned electricity firm PLN over a delay in the construction of a coal-fired power plant in Kahyaan Hilir district, Pulang Pisau regency, Central Kalimantan. Kompas reported Thursday.
Central Kalimantan governor Agustin Teras Narang said in Pulang Pisau that the project, which is part of the government?s fast track 10,000 MW power project, to build a coal-fired power plant with a capacity of 2 x 60 megawatt had clearly failed.
?Since the plan was made about one and a half year ago, only a small hut has so far been built in the 64-hectare area allocated for the power project,? he said when conducting a field trip to the power plant site on Tuesday.
He said that PLN had promised to complete the power project in 2010 but until now none of the construction works had been carried out. The governor said that he had sent a letter to PLN president director asking for explanation about the delay. ?But there has been no replay since then,? he added.
A consortium of China National Heavy Machinery Corporation (CHMC)-Shandong Electric Power Construction No 1 Company (SEPCO-1) and local company PT Mega Power Mandiri won a tender to build the power plant in early 2008. However, the consortium had failed to meet construction schedules due to financial difficulties.
During a meeting with the governor later on Wednesday, PLN deputy for procurement Setiawan said that the consortium had failed to carry out the project because their bid for the power plant was under the market value.
Meanwhile, East Kalimantan provincial administration said that it would relocate the 2 x 100 megawatt coal fired plant to be built in Muara Jawa district in Kutai Kartanegara regency to another area because the current location was not suitable.
The provincial administration said that the plant might be moved to the Kariangau industrial complex in Balikpapan. (*)