PLN, Pelindo II to set up a joint venture

State utility PT Perusahaan Listrik Negara (PT PLN) and state-owned seaport operator PT Pelindo II have agreed to set up a joint venture company, which will focus on power supply for the latter?s seaports.

PLN stated in a press statement, received by Petromindo.com in Jakarta on Tuesday that the joint venture agreement had been signed by PLN President Director Nur Pamudji and Pelindo II President Director Richard Joost Lino in the PLN headquarter in Jakarta on Tuesday.

?PLN and Pelindo II want to build a synergy with their respective resources in providing power supply. This is a new step to enter a new business in the seaport sub-sector. As our power supply in Java and Bali is increasing and getting more reliable, particularly those generated with steam power plants, PLN will have to seek for new markets, which are previously out of our attention,? said Nur.

Meanwhile, PLN Risk Management and Planning Director Murtaqi Syamsuddin noted that PLN would appoint its subsidiary PT Haleyora Power to handle the formation of the joint venture. ?We hope that the new joint venture company will start its operation within a month,? he said.

He said that for the establishment of the joint venture, they would need a total capital of Rp 600 billion. ?Its paid capital should be around Rp 150 billion or 25 percent of the total needed. PLN will have a share of 45 percent, while Pelindo II 55 percent,? said Murtaqi, adding that both companies have agreed to appoint the joint venture firm?s board of directors.

Pelindo II President Director R.J Lino said that he hoped that his company?s seaport operations would become more efficient. ?Hopefully, our operational cost will be decreasing, while our revenue will be increasing,? he said.

Editing by Benget Besalicto Tnb