PLN seeks higher government capital injection
Friday, May 13 2016 - 03:46 AM WIB
State-owned electricity company PT Perusahaan Listrik Negara (PLN) has asked for the government to double the size of its capital injection for the company this year to Rp 20 trillion to help finance the construction of power plant projects.
Kontan quoted State Minister of State Owned Enterprises (SOEs) Rini Soemarno as saying Friday that the ministry has accommodated the PLN request and would include it in the proposed revision of the 2016 state budget.
She is optimistic that the House of Representatives would approve the proposed higher government equity injection for PLN.
President Director of PLN Sofyan Basir has previously said that the company needs an additional Rp 10 trillion in government capital injection as the initial Rp 10 trillion capital allocated for company would be used to pay its tax obligation. The extra capital will be used to finance the development of smaller power plants. (*)