PLN signs PPAs for two mini-hydro power plant projects

State-owned electricity firm PT PLN signed on Friday power purchase agreements (PPAs) for two mini-hydro power plant projects in Central Sulawesi with combined capacity of 12.2 MW.

PLN signed PPA with PT Buminata Energi Perkasa, which will develop a 10 MW mini-hydro power plant in Tomata, Morowali Utara Regency, and with PT Tinusa Energy, which will develop a 2.2 MW mini-hydro power plant in Koro Kabalo, in Tojo Una Una Regency.

Business Director of PLN Sulawesi and Nusa Tenggara Regional Office, Machnizon Masri said that the company will purchase the electricity to be produced by the two power plants at a tariff of Rp 1,320 per kWh, lower than PLN?s average electricity production cost in the region of Rp 1,610 per kWh.

Once in operation, the two mini-hydro power plants will produce 86.89 GWh of electricity, providing potential saving for PLN of Rp 25.7 billion per year, he said.

Editing by Reiner Simanjuntak