PLN, CPSI sign agreement to buy switchgear
Tuesday, June 24 2014 - 02:54 PM WIB
PT Crompton Prima Switchgear Indonesia (CPSI), is a joint venture company between PT PLN Enjiniring, a subsidiary of PT PLN, and Crompton Greaves Limited, an Indian company focused on production of electricity equipment.
The signing of the five-year purchase agreement, was conduced by PLN President Director Nur Pamudji and CPSI President Director Srinivasan M.S. at the PLN headquarters in Jakarta on Tuesday. Based on the agreement, PLN will buy all of CPSI?s Switchgear components.
?This is part of PLN?s commitment to push the growth of Indonesian industries which will certainly create new job opportunities. CPSI is expected to be able to produce the switchgear components to support the electricity infrastructure in Indonesia,? Nur Pamudji said after the signing ceremony.
He added that the cooperation would also facilitate a transfer of technology for Indonesia. ?We hope that within five years, we will be able to produce switchgear,? he said.
CPSI President Director Srinivasan M.S. said that his company will invest a total of US$23 million to build the switchgear plant, which will start production at the end of 2015.
?We?ll start the construction later this year (2014). And we expect to start production at the end of next year (2015),? he added.
Editing by Benget Besalicto ST