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Jakarta Post

Power deals signed to up electrification rate

  • The Jakarta Post

Jakarta   /   Fri, November 4 2011   /  09:12 am

The government signed on Tuesday a letter ordering state electricity company PT PLN to buy electricity from a geothermal producer and four others pending purchase agreements between the firm and the independent power producers (IPPs) to increase the national electrification ratio.

Energy and Mineral Resources Minister Jero Wacik said on Thursday that the deals involved power plants in South Sumatra, West Java, East and West Kalimantan and Papua.

“After signing the deals, construction on these power plants will begin. The projects will create 2,200 new jobs in the electricity sector,” Jero told a press conference at the ministry.

The IPPs will sign power purchase agreements with PLN before construction can start.

Data from the ministry in March shows that the national electrification rate currently stands at 67.63 percent. The ministry targets a national ...