PLN seeks to increase local content in power plant projects
Wednesday, September 28 2016 - 02:03 PM WIB
State-owned electricity firm PT PLN on Wednesday launched a program, called National Coal-Fired Power Plant (also known as National PLTU program), which is aimed at increasing the use of locally manufactured goods as well as local services in the construction of coal-fired power plant projects in the country.
PLN said that the target is for coal-fired power plant projects included under the program to have more than 50 percent local content. The National PLTU program was launched in conjunction with the National Electricity Day on Wednesday.
PLN sad that there are at least 201 coal-fired power plants projects of small to medium-scale capacity that can be included in the National PLTU program. The power plant projects have combined capacity of 6,550 MW, and will require total investment of Rp 150 trillion.
The company further explained that according to data from the Ministry of Industry, almost all components and services required can be provided by domestic manufacturers and contractors. Only a few components that have to be imported which are generators and turbines.
PLN said that if the projects can have local content of more than 50 percent, it would immediately reinvigorate 14 strategic state-owned enterprises, and more than 190 private companies.
Editing by Reiner Simanjuntak