State firms to develop power transmission project in Sumatra
Saturday, March 8 2014 - 03:55 AM WIB
State Minister of State-Owned Enterprises Dahlan Iskan said that PLN would team up with five other state firms including PT Wijaya Karya, PT Waskita Karya, PT Hutama Karya, PT Pembangunan Perumahan and PT Adhi Karya in developing the Rp 60 trillion project.
"The funding for the work will come from state-owned banks," Dahlan told reporters after a meeting with a number of state-owned companies on Friday.
He did not provide further details about the project, but quoted by Bisnis Indonesia and Koran Tempo as saying that it would be started in August of this year and is expected to be completed in two and a half years.
Corporate Secretary of Adhi Karya, M. Aprindy said details of the project would be discussed in upcoming meetings. "The idea is how to build transmission from electricity surplus areas in southern Sumatra to the north," he was quoted by The Jakarta Post as saying.
The country had a total of 47,128 megawatts (MW) of electricity-generation capacity as of the end of 2013. The electrification ratio amounted to around 80 percent at the end of last year.
PLN's operations director for Java, Bali and Sumatra IGN Adnyana said the Medan area in North Sumatra still suffered electricity-supply shortages.
He said the demand for electricity in the area during peak hours amounted to 1,700 MW while the supply was only 1,450 MW.
"Currently a number of power plants are under construction in Palembang [South Sumatra], which will be completed by 2016. When the plants are completed, the transmission network will help the north of the island. The transmission network will be a long-term plan," he told The Post. (*)