Tender for 35,000 MW power projects to start next year

The new government of President Joko Widodo plans to develop new power plant projects with combined capacity of 35,000 MW over the next five years in a bid to increase power supply and accelerate the country?s economic growth.

President Director of state-owned electricity company PLN, Nur Pamudji told reporters on Monday that the tender process was expected to begin in 2015.

He said that of the targeted total capacity, PLN was expected to develop around 15,000 MW, with the remainder to be contributed by independent power producers.

With investment required per MW estimated at around US$1.5 million, PLN would spend about $22.5 billion to participate in the power plant development project.

Pamudji said that while new and renewable energy sources will be increased, the country will still rely on available primary sources of energy for the planned power plant projects particularly coal and gas as construction of this type of plants is relatively quicker. (*)