Timah prefers PLN over PTBA in electricity project

IDX-listed PT Timah Tbk has recently decided to cancel previously announced cooperation plan with IDX-listed PT Bukit Asam Tbk (PTBA) to construct 2x5MW coal fired power plant to guarantee power supply in its concession in Tanjung Ular Muntok industrial district in Bangka Regency of Bangka Belitung, Investor Daily reported on Saturday.

"We've decided to let state electricity company PT Perusahaan Listrik Negara (PLN) provides the electricity for us. As PLN stated to provide 200MW of electricity, four times bigger than our required capacity of 50MW, the excess electricity can be used by the surrounding community, especially to light the Tanjung Ular Muntok area that has has not had proper electricity supply in the last three years," said the company's President Director Sukrisno after the signing of the MoU between both companies on February 15, adding that PLN's power plant should be up in running next year.

The Electricity price, however, has not been discussed, he said.