Power projects to boost S. Sumatra?s coal output

South Sumatra?s coal sector will get a boost amid plans to develop several coal-fired power plants including mine-mouth plants in the province.

Ruslan Bahri, a senior official at the provincial administration, said Friday that there are at least eight mine-mouth plants to be developed in the province until 2019.

He said that the province?s huge coal reserves at around 9.5 billion tons have lured investors to develop mine-mouth plants. ?This year alone, there are two projects, namely the Banjarasi coal-fired power plant in Lahat Regency, and South Sumatra-5 coal-fired plant in Musi Banyuasin Regency,? Ruslan said.

While South Sumatra currently enjoys excess electricity, the province will export the extra power supply to come from the planned projects.

Meanwhile, Hernadi Buhron of the state-owned electricity firm PT PLN said that the coal requirement for the planned South Sumatra-9 (Sumsel-9) and South Sumatra 10 (Sumsel 10) coal fired power plants with a combined capacity of 1,800 MW is estimated at 15 million tons per year.

?The two coal-fired power plants will need about 420 million tons of coal for 25 years, which means 15 million tons per year, or higher that South Sumatra?s current coal output,? he said. The province currently produces around 10 million tons per year, he added.

Hernadi said that the winning bidders for the two major projects are expected to be announced in September of this year in the hope that the power plants can start commercial operation in 2021. (*)