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Jakarta Post

FTP-1 growing RI'€™s power supply

  • Raras Cahyafitri

    The Jakarta Post

Jakarta   /   Fri, August 22, 2014   /  10:21 am
FTP-1 growing RI'€™s power supply

A number of electricity projects included in the the Fast Track Project phase one (FTP-1) that would generate hundreds of megawatts (MW) are expected to be completed next year, helping meet the growing demand for electricity nationwide.

By the end of July, the FTP phase one project had completed power plant projects that generated 7,258 MW, or around 73 percent of the target of 7,258 MW for the period, according to figures from state electricity firm PT Perusahaan Listrik Negara (PLN). Electricity generated by the completed power plant projects is expected to reach 8,444.5 MW by year'€™s end.

'€œMost of the projects that are currently in the commissioning stage are expected to be completed this year,'€ PLN director for construction Nasri Sebayang said.

Power plant projects with a combined capacity of 1,834 MW remained in commissioning period by the July, of which 1,272.5 MW were slated to be finished by year'€™s end, PLN data showed. Nasri said that the completion (of the projects) would help some areas bolster the electricity supply.

'€œFTP phase one for South Sulawesi has been completed. Currently, the best electricity system in Indonesia is in Central and South Sulawesi, which has reserves of around 25 percent,'€ he added.

A number of power plants in the northern part of Sumatra remain in the commissioning process, meaning the region remains vulnerable to an electricity crisis.

The government has struggled to finish power plant projects and provide additional electricity as domestic economic growth has created a surge in demand for power in Southeast Asia'€™s largest economy.

Electricity consumption in Indonesia is expected to double in 10 years, from 189 terawatt (TWh) hours in 2013 to 386 TWh in 2022. Average annual growth between 2013 and 2022 is predicted to be 8.4 percent per year.

Increases in electricity supply, however, are projected to fall short of the growth in demand.

The FTP phase-one program '€” which was developed by the PLN '€” was launched in 2006 and planned to be completed in 2009, but missed the target due to a variety of factors, including financing issues, lengthy permits and a prolonged land acquisition process.

In addition to the FTP phase one program, the government also has a FTP phase two program, which covers the development of 76 power plants that would generate 17,918 MW of power. Unlike with the FTP phase one project, with FTP phase two the PLN would only manage 17 of the total number of projects while the remainder would be developed by independent power producers.

'€œPLN has six PLTP [geothermal power plant] projects included in FTP phase two, and PLTP Sungai Penuh and Hululais are now in the steam exploration process. We hope to start construction next year,'€ Nasri said.

Indonesia is believed to have significant geothermal resources. However, development of the resource is hampered by environmental issues as most geothermal resources are located in forestry areas.

'€œThe most likely PLTP project under FTP phase-one to be completed this year is Patuha and Sarulla,'€ said Rida Mulyana, the renewable energy director general at the Energy and Mineral Resources Ministry.

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