The Jakarta Post
State electricity company PT PLN has predicted that as of 2014, only 1,200 megawatts (MW) of electricity will be produced by geothermal power plants, lower than the target of the second phase of the 10,000 MW fast-track program of 3,970 MW.
PLN’s president director Dahlan Iskan said Friday that many geothermal power plant projects may not be completed on schedule because to date, private investors are still reluctant to go ahead with their exploration activities.
“The risk is too high. It costs around Rp 75 billion [US$8.34 million] to drill one exploration well, the results of which are still uncertain,” he said.
To solve the problem, Dahlan has proposed that the House of Representatives’ Commissions VI and VII (overseeing state-owned companies, and energy, respectively), allow the company to use Rp 1.2 trillion of revolving funds, allocated by the Finance ...