PLN starts Asahan III hydro power plant project

State electricity company PT Perusahaan Listrik Negara (PLN) has officially begun the construction works of the PLTA Asahan III hydropower plant project in Asahan and Tobassa regency, North Sumatra.

The ground-breaking ceremony to mark the start of the power plant project which will have a capacity of 2 x 87 megawatt was held in the project site on Friday with the presence of PLN president director Dahlan Iskan.

Dahlan said that the new power plant which would be built a total cost of about Rp 2.2 trillion (US$244.2 million) was expected to begin commercial operation in 2014 becoming a major power supplier for North Sumatra.

?The construction of a base camp and access road will be part of the first stage of the construction of the power plant,? he said, adding that PLN had secured a commitment from an investor on the financing of the project.

The PLTA Asahan III is built by Japanese company Nippon Koei Ltd, in cooperation with several local companies including PT Connusa Energindo, PT Kwarsa Hexagon, PT Arkonin Engineering Manggala Pratama, PT Tata Guna Patria and PT Jaya CM. (giok)