PLN hopes to reduce debts to Pertamina to Rp 14 trillion
Tuesday, June 16 2009 - 02:32 AM WIB
State owned electricity company PT Perusahaan Listrik Negara (PLN) has pledged to reduce debts owed to state owned oil and gas company PT Pertamina to Rp 14 trillion (US$=10,150) by the end of this year from about Rp 26 trillion at present.
PLN's President Director Fahmi Mochtar said the partial payment of the debts would be made as soon as the government disbursed the subsidy allocated to the company this year. ?The payment will be made as soon as PLN receives the government?s subsidy,? he said during a hearing with legislators in Jakarta on Monday.
Pertamina?s Finance Director Ferederick ST Siahaan had said earlier that PLN had yet to pay a total of Rp 23.6 trillion of fuel supplies by May 3 and the figures had increased to Rp 26 trillion on June 10.
He said that the delay in the debt payment had seriously affected Pertamina?s cashflow especially the standby funds to maintain the company?s fuel stocks at a safe level. (*)