PLN to supply 70 MW electricity to Bosowa

State owned electricity company PT Perusahaan Listrik Negara (PLN) is ready to supply 70 Megawatt electricity to the nickel smelter plant owned by PT Bosowa Metal Industri (BMI) in Jeneponto, South Sulawesi.

PLN said in a press statement on Thursday that PLN President Director Nur Pamudji and PT BMI President Director Munafri Arifuddin signed a memorandum of understanding on the electricity supply on Thursday. Also present during the signing of the MOU was Bosowa Grop President Director Erwin Aksa.

BMI, which will operate the first nickel smelter plant in eastern Indonesia with a production capacity of 10.000 tons nickel per year and 5000 tons of ferronickel per year, will be served as a premium customer that will get priorities in construction of grid and quality and reliability of services. Both companies will have yet to negotiate the electricity rate.

PLN Planning and Risk Management Director Murtaqi Syamsuddin said that PLN was able to supply 70 MW electricity to the smelter plant that would be completed in 2014. ?Based on our calculation, the South Sulawesi grid system in 2014 will get an additional of more than 500 MW from a number of new power plants, including combined cycle PLTU Barru, PLTU Poso, PLTU Jeneponto, and PLTU Sengkang,? he said..

Bosowa Group President Director Erwin Aksa said that the smelter plant development was in line with the government?s policy to process mining products in order to have higher added value. ?This smelter will need a lot of electricity. By having a secured supply from PLN, we?re more confident that we can accelerate the development of this smelter,? he said.

Editing by Benget Besalicto Tnb.