PLN to build three large hydropower plants outside Java

In a bid to reduce dependence on oil fuel, state owned electricity company PLN will build three major hydropower plants (PLTA) in Sumatra and Sulawesi in cooperation with the private sector

The three power plants will comprise of PLTA Karama hydropower plant in West Sulawesi, PLTA Kerinci in Jambi and PLTA Batang Toru in North Sumatra, PLN?s President Director Nur Pamudji said in a statement

Pamudji said the three power plants would be built by private companies under a public private partnership (PPP) scheme. PLTA Karama with total capacity of 450 MW would be built by PT Sulbar Group and China Gezhouma Group with estimated investment of US$.1.2 billion, while PLTA Kerinci with a capacity of 350 MW would be built by PT Kerinci Hydro Energy with estimated investment of $510 million.

Meanwhile, the PLTA Bantang Toru with a capacity of 500 MW would be built by KSO Dharma Hydro with estimated investment of about $1.2 billion.

The construction of the three power plants has been included in PLN?s long-term plan stated in the company?s plan for the provision of electricity (RUPTL) which will be carried out between 2011 and 2020.

Pamudji said that because of the large amount of the investment requirements, the three projects would be partly financed by foreign financial institutions. PLN would also propose the projects to receive financial guarantee from PT Penjaminan Infrastruktur Indonesia, he added.

PLN previously signed a power purchase agreement (PPA) with operators of several hydropower plants including PLTA Asahan with a capacity of 2?90 MW in North Sumatera, which has commenced operation. PLTA Poso with a capacity of 3 x 65 MW in Central Sulawesi which will be operated in July, 2012 and PLTA Wampu with a capacity of 3 x 15 MW in North Sumatra.

Three hydropower plant projects to be built under PPP scheme outside Java

Power plants	Developer	Location	Capacitys	Types of generators	Production per year	Estimated investment
PLTA Karama	PT Sulbar Group dan China Gezhoumba Group	Sulawesi Barat	450 MW?	Peaker	2412 GWh	US$1,2 billion
PLTA Kerinci	PT Kerinci Hydro Energy	Jambi	350 MW?	Peaker	1464 GWh	US$0.51 billion
PLTA Batang Toru	KSO Dharma Hydro	Sumatera Utara	500 MW?	Peaker	2260 GWh	US$1,2 billion

Editing by Roffie Kurniawan