State owned electricity operator PT Perusahaan Listrik Negara (PLN) has appointed state-owned construction firm Waskita Karya to build a 554 kilometer-long power grid connecting Muara Enim in South Sumatra to New Aur Duri in Jambi.

PLN president director Sofyan Basir said on Friday that the power grid facility was crucial to transmit electricity to people living in remote regions of Sumatra.

“It is important to note that power plants are not the only important facility, power grids are also needed,” state owned enterprises minister Rini Soemarno said, adding that the construction of the power grid would put the government one step closer to connecting all Sumatra with electricity.

Sofyan said the construction of Muara Enim-New Aur Duri power grid, which will have a capacity of 500 kilovolts, will cost Rp 3 trillion and is slated to be completed in the next three years.

He added that the company aimed to build 19,000 km of circuit transmissions in Sumatra to reach consumers in remote areas. He said that the project would cost Rp 10 trillion in total.

As of now, around 8,000 km of power grid in Sumatra is already in operation, said Sofyan. (mrc/ags)