PLN stops buying coal due to excessive stocks
Wednesday, March 18 2009 - 05:18 AM WIB
Nasri Sebayang, PLN?s Chief of Primary Energy, said on Wednesday the firm?s coal stocks were now sufficient for 50 days of consumption and it was seeking to reduce the stock level to 30.
?A 50-day stock is unhealthy from economic point of view. We shall gradually reduce it to 30 days and have talked with suppliers about this,? Nasri told Petromindo.com.
He said the firm would maintain the current stock level until next month as there are still worries that high sea waves could hamper shipment of coal from coal producing regions such as Kalimantan to the firm?s power plants in Java.
?We expect weather conditions turn normal in April that we can start reducing our coal stock level,? he said.
He projected PLN will consume a total of 24 million tons of coal this year. (Alex)