ID :
107070
Wed, 02/17/2010 - 13:35
Auther :

PLN TO BUILD TWO GAS POWER PLANTS IN S SUMATRA

Jakarta, Feb 17 (ANTARA) - State power utility PT PLN plans to build two gas power plants with a total capacity of 600 megawatts (MW) in South Sumatra this year.

PLN president director Dahlan Iskan said in Jakarta Wednesday the two power plants will be using gas from South Sumatra.

"The power plants will also make use of the pipelines already in place there," he said.

He added that the power plant in Prabumulih will have a capacity of 200 MW, and the one in Musi Rawas 400 MW.

The power plant in Prabumulih will use 45 MMSDFD of gas from the Singa Field operated by Medco EP Indonesia, and the one in Musi Rawas will be using 80 MMSCFD of gas from the Jambi Merang Field run by Hess Indonesia.

"We have already signed a contract for the gas which will be supplied starting in March 2010," he said.

Dahlan added that PLN decided to build the projects by itself as the gas supply has been secured and at a relatively low price. But the procurement mechanism was still being considered, he said.

Several options had been considered such as gas power plant
(PLTG) or more practical a power plant using both gas and coal (PLTGU).

If the choice is PLTG, the investment in the two power plants would reach 420-480 million US dollars, but if the choice is PLTGU, the investment may reach 660 million dollars.

"We also have not decided whether the procurement mechanism would be a lease, operational cooperation, or otherwise," he said.

Dahlan also said that according an earlier plan, the gas supply from Singa and Jambi Merang will be brought to Java.

But as the gas power plants currently operating in Java already have their gas supply already secured with the LNG receiving terminal in Jakarta Bay, the plan was canceled.

And besides, the capacity of the existing power plants in the Java power grid is already adequate at 30 pct above peak load.

In addition,investment in transporting gas to Java by pipeline is already too big.***



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