Semen Indonesia plans 200 MW power plant in E. Java

IDX-listed PT Semen Indonesia Tbk, the country?s largest cement maker, is considering to build a 200 MW power plant in Tuban, East Java Province, worth about Rp 5-8 trillion, reports said Saturday.

Semen Indonesia Finance Director Ahyanizzaman was quoted as saying that if realized it would be the company?s second power plant, which would supply the power requirement of its Tuban cement plant, the country?s largest.

Semen Indonesia currently operates a 100 MW power plant in Tonasa, Makassar.

While did not specifying the type of fuel for the planned power plant, Ahyanizzaman said that construction of the planned plant is expected to start in 2016, hopefully to be completed within 2-3 years.

He said there are a number of schemes being considered by the company including forming a joint venture.

He added that producing own electricity would help reduce power cost for the Tuban plant. Excess power from the planned power plant would be sold to other parties, thus providing extra revenue for the firm. (*)