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Developing the first nuclear power plant in RI
When it comes to the debate of Indonesia’s capability in harnessing nuclear power full civil uses, it is important to note that the country has more than enough experience in developing large-scale power plants, from the planning stage, right through to the construction and operation of the plants
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hen it comes to the debate of Indonesia’s capability in harnessing nuclear power full civil uses, it is important to note that the country has more than enough experience in developing large-scale power plants, from the planning stage, right through to the construction and operation of the plants.
Suralaya coal-fired power plant (CFPP), the first of its kind built in Indonesia, is a good example of the successful development of a complex large-scale power plant.
When Suralaya CFPP in West Java was still in its planning stages in the early 1980s, domestic infrastructure and industries to make a CFPP workable were not in place.
The coal mine Bukit Asam in South Sumatra, which had been designated as the plant’s coal supply, had a very low output and was in dire need of development.
The 411 kilometer railway designed to run the coal from Bukit Asam to Tarahan seaport along the coast of South Sumatra, needed upgrades to not only the track but also the locomotives and carriages.
Seaports and temporary transit stations for the coal had to be constructed in Tarahan.
Ships carrying cargo holds full of coal from Tarahan across the Sunda Strait to Suralaya had to be either leased or built.
On top of the herculean task of securing fuel for the large power plant, the necessary transmissions had to be readied in coordination with other developments.
The complex project required the cooperation on behalf of a number of parties (government and private) to accomplish the project.
Billions of dollars of funding was acquired from several sources including the government, state-owned companies and large foreign loans.
In 1984, the two large 2x400 megawatt (MW) generators at Suralaya CFPP started finally delivering electricity. The CFPP was then boosted by another 2x400 MW generators, which was then followed by a 3x600 MW generator, and now — with total generation capacity of 3,400 MW — is the largest contributer of power to the Jamali (Java-Madura-Bali) modern interconnected electricity grid.
Another example we have been able to learn from is the development of our large-scale natural gas and steam combined cycle power plants (CCPP).
In 1993, after natural gas was discovered about 50 kilometers offshore of Jakarta, the gas, after being transported through a pipeline, started burning at the newly built Muara Karang CCPP.
The following year, natural gas from Pagerungan field (Madura Strait) started flowing to fuel Gresik CCPP in eastern Java, about 350 km from the field.
The plants were then boosted by Tanjung Priuk and Muara Tawar near Jakarta, which combined provide the majority of the 5,000 MW output generated in Java.
Today, many more power plants have been built across the archipelago. The plants were built not only by state-owned electricity company PT PLN and its subsidiaries, but also by private companies.
Two phases of 10,000 MW power projects (dominated by CFPP) are currently underway. On a smaller scale but full of challenges in their own right, geothermal power plants are also being developed.
These examples are all proof that we have significant experience in developing large-scale, complex power plants.
All of the power plants that have been built share the same project development readiness criteria:
They are economically feasible, the technology has been proven elsewhere in the world and they are environmentally and socially justifiable.
In terms of planning, all the projects followed similar scrutiny procedures and had been included or indicated in the PLN’s business plan for electricity procurement (RUPTL) long before they had actually been constructed.
Generally, electricity in Indonesia is provided by PLN as a monopoly, who in fact buys the electricity from power plant owners across the country.
Indication in the RUPTL’s future project is a good point for the developer of a particular power plant to start negotiating a Power Purchase Agreement (PPA) with PLN as the country’s biggest electricity customer.
The PPA is important for both parties to agree in a legally binding document that the project goes smoothly for all parties involved.
The PPA is particularly important for the project developers as it serves as a outlines the project’s feasibility to the development’s financiers, as well as any schemes those investors may offer to finance the project.
As has been proven in many parts in the world, nuclear power plants are able to supply stable, reliable, and clean electricity with competitive price.
From the point of view of project development and finance, the development of the country’s first NPP (1,000-2,000 MW) would not be too complex as we have previously developed many other power plants and learned valuable lessons along the way.
Even though the adoption of nuclear power in Indonesia’s electricity framework is politically supported, it must follow the ordinary business procedures.
It must be included in the RUPTL, the company awarded with operating the plant must be reputable,
the nuclear plant project must have a solid PPA with the PLN, and so on.
Attention is now being paid to public acceptance of nuclear power, but other works to prepare its integration into our power grid must also be done properly and timely.
The writer is the senior energy planner and an economist with the National Development Planning Agency. The opinions expressed are his own.
