Power import from Malaysia may reach 200 MW

By Godang Sitompul

Indonesia will import up to 200 MW of power from Malaysian state of Serawak for West Kalimantan province, a senior official at the Minister of Energy and Mineral Resources said on Tuesday.

?In the beginning, PLN (state owned electricity firm PT Perusahaan Listrik Negara) will import 50 MW from Malaysia and the supply will be subsequently raised to 200 MW,? Director General of Electricity Djarman said on Tuesday

PLN signed the power purchase agreement to buy power from Serawak Electricity Supply Corporation (Sesco) in June this year. PLN?s President Director Nur Pamudji then told the press that under the agreement, Sesco will supply 50 MW in the Sesco will distribute 50 MW of power supply beginning the middle of 2015. The power supply can be increased up to 230 MW, depending on the readiness of Sesco.

Djarman said the government welcomes the power supply offer from Malaysia, saying it will help reduce PLN?s costs in West Kalimantan.

At present, all power in the province is sourced from diesel power plants which have high operating costs due to the expensive diesel oil. The power from Malaysia is offered at Rp 900 per kWh, much lower than PLN?s cost of power generation from diesel power plants, which reach Rp 3,500 per kWh.

Djarman said the power supply from Malaysia is sourced from a hydroelectric power plant, without providing details about the power plant. According to the media, Malaysia is building a giant dam in Serawak, called Bakun Dam, for the development of a hydroelectric power plant which will have a capacity of up to 2,400 MW once completed.

Djarman noted that while Indonesia will import power from Malaysia for West Kalimantan, Indonesia will export 1,000 MW power from Sumatra to Malaysia peninsula. The power supply will be sourced from a 2x1000 MW minemouth power plant to be built in Riau and expected to start operation in 2018 or 2019.

?In Riau, a 2x1000 MW power plant will be built. An agreement has been signed by (state owned coal miner) PT Bukit Asam, PLN and (Malaysian state owned electricity firm) Tenaga Bhd for the export of some of the power to Malaysia,? he said.

Editing by Johannes Simbolon