Signing of MOU for Lahat power plant delayed

The signing of the memorandum of understanding (MOU) for the construction of coal-fired power plant in Lahat, South Sumatra has been delayed, Neraca business daily reported on Friday.

The MOU was planned to be signed on Thursday by South Sumatra Governor Rosihan Arsyad, as the representative of the government, the president of coal producer PT Bukit Asam, Ismet Harmaini and the president of PT Ridho Utama Abad, Sri Andinii.

?They are not yet prepared, and several parties who are involved in the construction of the power plant were not present,? the governor told reporters following a closed door meeting with Bukit Asam and Ridho Utama.

According to the plan, the power plant would be built in Banjarsari village, Lahat regency, South Sumatra, with an initial generating capacity of 60 MW to help the shortage of power supply in the province. The estimated cost for the plant construction reaches about US$0.8 million.

The local government expects that the power plant could be operated in 2003 so that the acute shortage of the power supply could be solved before the opening of the PON nation sports even in the province in 2004. (*)