PLN to commence power plants developments PQ bidding next week

State electricity firm PLN said it would commence opening of pre-qualification bidding to build billion dollars power plant projects across Indonesia next week after it had received approval form the government.

PLN?s president director Eddie Widiono said for the first phase, PLN would open pre-qualification bidding for the construction of Cirebon 1x600 MW coal-fired power plant in West Java (expected to commence operations 2010, investment estimate $500 million), and would be followed by Pasuruan 500MW combined cycle power plant in East Java (2010, $500 million), Central Java (former Tanjung Jati C IPP) 2x600 MW coal-fired power plant (2011, $1.2 billion) and the third phase opening would be for Paiton III and IV 800MW coal-fired power plant in East Java (2012, $800 million).

He said pre-qualification for second and third phase would be opened ?as soon as possible?. He did not give detail about the time line.

Eddie added that along with the second phase package, PLN would also open pre-qualification bid for outer Java island power plants, namely: Sibolga 2x100 MW coal-fired power plant in North Sumatra (2010, $200 million), Bali 2x100MW coal-fired power plant (2008-9, $200 million), Amurang 2x25MW power plant in North Sulawesi (2010, $50 million) and Kaltim 2x60 MW combined cycle power plant in East Kalimantan (2010, $120 million).

Eddie said that the development of the power plants would be based on IPP system. Under the revised Indonesian electricity law, PLN has the monopoly right to purchase electricity generated from power plants. (godang)