PLN to import electricity from Malaysia

State-owned electricity company PT Perusahaan Listrik Negara (PLN) has received a government approval to buy electricity from Malaysia?s Sarawak Energy Bhd to meet the growing power needs in the bordering areas near Sarawak, Kompas reported on Thursday.

Haryanto WS, the general manager for PLN?s unit in West Kalimantan, said in the province?s capital Pontianak on Wednesday that the letter of approval had been formally issued by the directorate general of electricity and energy use of the Energy and Mineral Resources Ministry.

He said that PLN?s unit for West Kalimantan recently signed an agreement with Energy Sarawak Bhd on the electricity purchase, under which PLN will buy about 400 kVa for Badau area in Kapuas Hulu regency and 200 kVa for Aruk-Sajingan in Sambas regency, both are located near the borders with the Malaysian state.

PLN will buy the electricity at a commercial rate of Rp 930 per kWh. In addition, PLN is also required to pay connection charge of 544,900 ringgit (about Rp 1.5 billion) for the electricity supplied to Badau and another 270,400 ringgit (about Rp 743 million) for those supplied to Aruk-Sajingan.

PLN hopes that the people of Badau and Aruk-Sajingan would be able to receive the electricity supply beginning 2009. (*)