PLN hampered by land acquisition problem in Central Kalimantan ?

Public utility PT Perusahaan Listrik Negara (Persero) (PLN) said on Tuesday its PLTMG Bangkanai gas engine power plant in Central Kalimantan province has started operation but it is faced with problem to transmit the power due to the non-existence of power lines.

The firm said in a statement that the 150-MW PLTMG Bangkanai started trial operation in February. One unit of the power plant was able to supply 8 MW of power to Muara Teweh village in the province. It will also supply power to Buntok (10 MW), Batu Licin (12 MW) and Sampit (33 MW).

The operation of the power plant enabled PLN to deactivate its diesel generator there, thus save its costs.

The power plant is able to supply power not only to areas in Central Kalimantan but also South Kalimantan province. PLN however is still unable to do so due to absence of transmission line from the power plant from Muara Teweh to the Central Kalimantan-South Kalimantan grid. The firm plans to build a 150 kV powerline but has thus far failed to secure lands for the project.

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Villagers that own the lands which PLN plans to acquire for its powerline towers demand the firm pay not only for the lands but also plants growing on the lands in compensation. PLN however refused to pay for the plants because they are still small in size, citing that under Law No. 2/2012 on Land Appropriation for Public Interest, it is only obliged to pay in compensation for plants with height of more than three meters.

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?We have coordinated with the local government (to solve the problem) and repeatedly persuaded them (in vain) through mediators that they don?t demand compensation for small plants,? PLN?s Communication Division Head Agung Murdifi.

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Editing by Johannes Simbolon