PLN opens tender to build new transmission network

State electricity firm PT Perusahaan Listrik Negara (PLN) is offering billions-of-dollar worth projects to build new power transmission networks and relay stations across the country to support the development of the 10,000-MW coal fired power plants, Bisnis Indonesia reported on Wednesday.

The projects worth Rp 18 trillion (about US$2 billion) include the development of new transmission line as long as 543 km across Java and Bali and 1,546 km outside both islands, PLN's director of transmission and distribution Herman Darnel Ibrahim said in a press statement on Tuesday.

He said PLN expected the construction of the new transmission lines was expected to be completed six months before all the coal-fired power plants built under the 10,000 MW coal program come online. PLN earlier said it expected the 10,000 MW power plants to come online between 2009 and 2010.

Aside from the new transmission networks, PLN is also offering projects to build uprating tranmission lines as long as 798.4 km, new primary relay stations in 40 locations with capacity of 1,560 MVA, 111 existing primary relay stations with capacity of 6,470 MVA in Java; and 133 km uprating transmission lines, uprating primary relay stations in 35 locations with capacity of 1,710 MVA and existing primary relay stations in three locations with a capacity of 90 MVA outside Java and Bali.

The Rp 18 trillion-project would be financed by the state budget, PLN's budget, export credit and government to government loan, Herman said.

Local content of the project is expected to reach around 50 percent so as to help the growth of domestic electricity appliance and installation service industries. The local component includes control room, foundation, control cable, conductor wire, high voltage electricity tower, isolator panel, structures of primary relay station and eraction and stringing power transmitter. (*)