PLN plans to build new power plant in Indramayu

State-owned electricity company PLN plans to build a new 2x 1,000 MW coal-fired power plant in Indramayu, West Java.

Company planning director Bambang Praptono said Monday that the company has obtained a US$2 billion loan from Japan International Cooperation Agency (JICA) to finance the project, which is part of the government?s second stage 10,000 MW electricity project.

?We have obtained about $2 billion loan from JICA,? Bambang said following a meeting with the House of Representatives Commission VII on energy.

Construction of the project is expected to start in 2012, and completed by 2015. ?We have just started the FS (feasibility study) stage. If the FS can be completed next year, we will proceed to Bappenas. This means that the engineering work can start in 2011,? Bambang explained.

Elsewhere, Bambang said that the company is also looking for additional export credit facility to help finance a number of projects in 2010 which include the capacity expansion of the Muaratawar combined cycle power plant by 1,250 MW. This particular project will require funding worth about $85 million.

PLN also plans to install under water cable in the Java-Bali network worth about $60 million, and strengthening the distribution network in the Greater Jakarta Area, which is estimated to require funding of $300 million.(Godang)