PT PJB to go public in 2007

As PT Indonesia Power (IP), a subsidiary of the state electricity firm PT Perusahaan Listrik Negara (PLN), is preparing its initial public offering (IPO) this year, another PLN?s subsidiary PT Pembangkitan Jawa Bali (PJB) is also planning to follow suit, the Investor Daily Indonesia reported on Wednesday.

But PJB wants to first see the success of IP?s move to sell its shares to public before realizing its plan.

PJB?s corporate secretary Sri Djoko M Koentjoro said his company expected to realize the IPO plan in 2007.

?IPO preparations are now focusing on technical matters,? Sri told the Investor Daily recently.

PJB, which was established in 1995, operates six power plants that spread from the west to east side of Java with a combined capacity of 6,511 megawatts.

Earlier, PLN president director Eddie Widiono said PLN would establish a new company using money raised from the capital market. The new company will produce electricity using geothermal steam.

Eddie said geothermal power can?t be either traded or exported. Indonesia has 40 percent of world?s geothermal energy reserves. So far Indonesia, according to Eddie, is able to utilize around 807 megawatts (MW) from its 27,000 MW reserves. (*)