Central Java PLTU (2x1000 MW) Tender is Done

ELECTRICITY

Central Java PLTU (2x1000 MW) Tender is Done

THURSDAY, 26 MAY 2011 00:00 WIB

JAKARTA. PT PLN (Persero) succeeded in doing the tender of Central Java PLTU 2x1000 MW which is so historical for PLN and Indonesian government. In the tender, it is determined that J-Power (Japan) which is a consortium with Itochu (Japan) and Adaro (Indonesia) as the one fulfill the requirement and with a very good price, which is 5, 79 cent USD. The project value reaches 3, 5 billion dollar or about Rp 30 trillion.

The historical tender which was previously followed by dozen of international companies, at the end leaving only 7 companies fulfill the requirement; 3 Japanese companies, 3 Tiongkok companies, and one South Korean company. However, in the closing tender on April 29th, there were only four companies submit the bids; Yudian and Shenhua (Tiongkok), Marubeni and J-Power (Jepang).

According to the President Director of PT PLN (Persero), Dahlan Iskan, this tender is historical because this is the first PPP (Public Private Partnership) project in Indonesia which is successfully tendered. The government encourages the PPP projects, however it finds many obstacles. By the success of Central Java PLTU 2x1000 MW, it is hoped that other PPP projects such as airport, highway, and railways could follow the PLN success.

Based on PLN point of view, continued Dahlan, this project is so historical because this is the biggest unit of PLTU ever been in Indonesia. “Along this time, Indonesia has no PLTU unit which reaches 1.000 MW. Along this time, the biggest is 660 MW, such as in Tanjung Jati and Paiton,” he says.

Technologically, this project is historical because this is the first project in Indonesia using ultra super critical. In Japan and Tiongkok, efficient and environmentally friendly technology has been long implemented, but for Indonesia this is the first.

In other hand, this project also gives a very precious experience to procurement staff of PLN, both in international tender and technology selection.

“That makes us relieved is that the price we get is also so cheap, which is 5, 79 cent USD/kWh, far of our prediction which could reach 6, 5 USD or more. The HPS price itself is determined 7, 1 cent USD”. By this price, then the assumption that the bigger a PLTU unit is, the cheaper the price is, is right.

“We will immediately report to the government, especially Coordinating Ministry for Economic Affairs concerning the result of the tender so that the government could use it to encourage international world to be more interesting in doing infrastructure project in Indonesia,” he says.

“I give high appreciation to this project tender team. This is a clean project, far from trick and intervention. This is the project whose confidential is kept till the end. There are other and outside parties influencing PLN, but it could be avoided. We think that it was normal, remembering that this is a big project. But the most important thing is that PLN team could keep its independency and integrity,” says Dahlan. (AK)
Source:Ministry of Energy and Mineral Resource CES Republic Indonesia