Adequately funded power projects set to continue<\/p>\n
BOGOR (JP): State Minister of National Development Planning
\nGinandjar Kartasasmita indicated yesterday that power projects
\nwhich had secured adequate funding would continue.<\/p>\n
Ginandjar said that such power projects were not affected by
\nthe rescheduling measure announced by the government earlier this
\nweek.<\/p>\n
\"Those which have not yet made financial closing are either
\npostponed or reviewed,\" he told reporters when visiting PT
\nPouwels Transformer Asia's production facilities in Cileungsi,
\nnear here.<\/p>\n
Projects which were postponed or reviewed were part of those
\nwhich had already signed purchase agreements with the government,
\nhe said.<\/p>\n
The minister said projects which fell under the \"review
\ncategory\" still had a chance to go ahead as long as their
\ninvestors had sufficient equity to finance the projects.<\/p>\n
Minister of Finance Mar'ie Muhammad announced earlier this
\nweek the rescheduling or review of Rp 105 trillion (US$35.6
\nbillion) worth of government or state-related projects as part of
\nmeasures to minimize the impact of the rupiah's sharp
\ndepreciation against the U.S dollar.<\/p>\n
As part of the retrenchment, the government postponed 14 power
\nprojects valued at $5 billion and reviewed nine others worth $4.9
\nbillion. They are part of 28 power projects which have signed
\npower purchase agreements with state-owned electricity company
\nPLN.<\/p>\n
The government, however, did not name the power projects
\naffected by the cutback measure.<\/p>\n
Six of the 28 power projects have secured a loan commitment
\nfrom local and overseas banks.<\/p>\n
The first project is the coal-fired Paiton I power plant in
\nEast Java, 40 percent owned by the Netherlands' MEC Indonesia BV,
\nJapan's Paiton Power Inv. 32.5 percent, the Netherlands' Capital
\nInd. Power 6.25 percent and PT Batu Hitam Perkasa 15 percent.
\nBatu Hitam Perkasa is controlled by Hashim Djojohadikusumo.<\/p>\n
The second project is the coal-fired Tanjung Jati B plant in
\nCentral Java, 80 percent owned by Hong Kong's Hopewell Ltd and PT
\nImpa 20 percent.<\/p>\n
The third project is the coal-fired Paiton II plant in East
\nJava, 50 percent owned by Germany's Jawa Power Hold, Britain's
\nErgon Energy 35 percent and PT Bumipertiwi Tatapradipta 15
\npercent. Bumipertiwi is controlled by President Soeharto's second
\nson Bambang.<\/p>\n
The fourth project is the gas-fired Sengkang plant in South
\nSulawesi, owned by Australia's Energy Equity Asia Power Ltd and
\nPT Triharsa Sarana Jaya Purnama.<\/p>\n
The fifth project is the coal-fired Sibolga A plant in North
\nSumatra, owned by PT Transmega Ekacipta Corporation and PT
\nPrimarindo Finance Corporation.<\/p>\n
Transmega Ekacipta is owned by businessman Judiono Tosin while
\nPrimarindo is owned by Ibrahim Risjad.<\/p>\n
The sixth project is the coal-fired Amurang plant in North
\nSulawesi, owned by Transmega Ekacipta Corporation and PT
\nPrimarindo Finance Corporation.<\/p>\n
The other 22 private power projects have not made \"financial
\nclosing\".<\/p>\n
The projects include the Palembang power plant in Palembang,
\nSouth Sumatra, the Cilegon plant in West Java, the Pasuruan plant
\nin East Java, the Pare-Pare plant in South Sulawesi, the Asahan
\nplant in North Sumatra, the Cilacap plant in Central Java, the
\nTanjung Jati A plant in Central Java and the Serang plant in West
\nJava.<\/p>\n
Other projects which have signed power purchase agreements but
\nare yet to make financial closing include geothermal plants in
\nSalak, Patuha, Karaha, Kamojang, Wayang Windu, Cibuni, Drajat,
\nall in West Java; in Sarulla, North Sumatra; Dieng, Central Java
\nand Bedugul, Bali.<\/p>\n
Ginandjar said the retrenchment measure in the power sector
\nwas decided by a special team led by Rahadi Ramelan with members
\nincluding Director General for State-Owned Companies Bacellius
\nRuru.<\/p>\n
The team, supervised by the Coordinating Minister for Economy,
\nFinance and Development, was assisted by a technical team
\nconsisting of officials of related departments, Ginandjar said.
\n(jsk)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/adequately-funded-power-projects-set-to-continue-1447893297",
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