PLN will call for bids from IPP to build power plants

State-owned electricity company PT Perusahaan Listrik Negara (PLN) will call for bids from independent power producers (IPP) beginning March or April, Kontan reported Thursday.

PLN's Director for Planning and Technology Nasri Sebayang said in Jakarta on Wednesday that the company was preparing all the documents needed for the tender.

The projects that will be tendered are part of power plants to be built under the Phase Two 10,000 MW power plant development program. The power plants to be built by IPPs account for a half of the power plants to be built under the program.

Under the program, the IPPs are required to use home-made products including transmission facilities. PLN is also required to report to the government every three months the progress of the projects.

The government will provide tax incentives for goods and equipment imported to support their projects.

Last week, government announced 72 of the list of the renewable energy, coal and gas fired to be built by private investors under the Phase Two 10,000 MW crash program. (*)