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Economist-turned-PDI-P politician appointed PLN chief

Darmawan Prasodjo holds a doctorate in natural resource economics and membership in the political party of President Joko "Jokowi" Widodo.

Norman Harsono (The Jakarta Post)
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Jakarta
Mon, December 6, 2021

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Economist-turned-PDI-P politician appointed PLN chief State-Owned Enterprises Minister Erick Thohir (second right) hands over a letter appointing Darmawan Prasodjo (second left) as PLN president director in Jakarta on Dec. 6. (Courtesy of PLN)

F

ollowing a general shareholders meeting, the State-Owned Enterprises (SOE) Ministry promoted on Monday economist and politician Darmawan Prasodjo from vice president director to president director of state-owned electricity distribution monopoly PLN.

Darmawan, a member of the Indonesian Democratic Party of Struggle (PDI-P), replaces seasoned banker Zulkifli Zaini, who held the position for nearly two years, or since December 2019. Darmawan took office on Monday.

Read also: Former Mandiri boss, ex-KPK deputy chief named new PLN top brass

In a statement, SOE Minister Erick Thohir instructed Darmawan to “continue the transformation” of PLN into a more modern and greener power company, but to do so in a way that “does not burden the state or the people".

PLN is stuck between a rock and a hard place. On one hand, the company is obligated to distribute electricity at subsidized prices and expand power grids to remote regions of the country Indonesia.

On the other hand, PLN is being pushed to minimize its reliance on state coffers and to modernize its power system, which is a costly undertaking that includes developing renewable energy power plants, smart grids and electric vehicle (EV) infrastructure.

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The COVID-19 pandemic has exacerbated PLN’s financial woes, as the government used PLN to offer even more electricity discounts for poor households as a form of emergency relief.

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