Sinar Mas to build power plants in industrial zones

The well-diversified Sinar Mas Group is planning to develop up to 180 MW of coal-fired power plants at its two industrial zones in West Java, Kontan reported on Wednesday.

The paper quoted Sinar Mas Group Director Sanny Iskandar as saying that the two industrial zones, one in Bekasi run by subsidiary PT Puradelta Lestari Tbk, and another called Karawang International Industrial City, currently obtains power supply from state-owned electricity company PT PLN.

But he added that the new power plants are needed to increase electricity supply in the industrial zones over the next two to three years as the areas will be expanded.

?We?re seeking to get the permit (for the power projects). There?s demand of at least 120-180 MW,? Sanny said.

Assuming an investment requirement of US$1 million per MW, Sinar Mas will need a total investment of about $180 million. (*)