Vice President offering Chinese investors coal power plant projects

Vice President Yusuf Kalla, who is now on visit in China, said on Tuesday one of the purpose of his visit to the country was to offer coal-fired power plant projects to Chinese investors.

The government has announced plans to build a number of power plants with a combined capacity of 8,000 Megawatt (MW) by 2009 under the so-called ?crash program? aimed to reduce the use of oil in the country?s power plants amid the rising oil price. By using more coal as fuel for power plants, the government expects to be able produce cheaper power and as such cut power subsidy.

Yusuf said that aside from offering the power projects, he would like to know the exact amount of investment needed for the development of a coal-fired power plant.

?In the past, the (price) target (for the development of a coal-fired power plant) is US$1 million per megawatt. I believe the price could be lowered to $700,000 if we directly deal with them (Chinese investors),? he said. (*)