PLN, Marubeni delay signing Cirebon PPA
Monday, July 30 2007 - 01:53 AM WIB
State electricity firm PT Perusahaan Listrik Negara (PLN) has delayed the signing of power purchase agreement (PPA) with the Marubeni-led consortium on the Cirebon combined cycle power plant which was originally scheduled for July of this year, Media Indonesia reported Monday.
South Korea's companies Korea Midland Power Co., Ltd and Sam Tan Co. Ltd and Indonesian engineering firm PT Tripatra are members of the consortium.
PLN’s President Director Eddie Widiono said in Jakarta recently that the signing of the PPA had been delayed because the company had yet to get a permit from the general shareholders' meeting.
“Actually, we are ready to sign the PPA but we have to wait for the permit from the general shareholders' meeting,” he said.
Under the agreement, PLN will buy the electricity to be produced at the power plant at 4.36 U.S. cents per kWh with the coal price US$30 per ton.
The power plant is expected to start commercial operation in 2009. (*)