Electricity firm seeking partners in joint ventures<\/p>\n
JAKARTA (JP): The state electricity company PT Perusahaan
\nListrik Negara (PLN) is looking for partners among domestic and
\nforeign firms for cooperation in the establishment of two
\nsubsidiaries which will be prepared for going public.<\/p>\n
PLN's president, Zuhal, told reporters here yesterday that the
\ncompany plans to start the operation of its two subsidiaries next
\nyear.<\/p>\n
The planned subsidiaries will comprise of PT Pembangkit Jawa
\nBagian Barat, which will be responsible for the operation of
\nPLN's power plants in West and Central Java, and PT Pembangkit
\nJawa Bagian Timur, which will control the operation of power
\nstations in East Java and Bali.<\/p>\n
\"Due to our lack of experience in establishing a new business,
\nwe are looking for foreign partners which have long been involved
\nin the power industry with strong capitalization,\" Zuhal said,
\nadding that domestic partners would also be welcomed.<\/p>\n
He said four foreign power corporations have applied to join
\nthe planned subsidiaries.<\/p>\n
The four corporations are National Power Corp. of Britain, EDF
\nPower Corp. of France, and two companies of the United States, he
\nsaid.<\/p>\n
Shares<\/p>\n
PLN's director of finance, Djiteng Marsudi, said all of the
\nfirms have given assurances that they will be able to prepare the
\nplanned subsidiaries for the selling of part of their shares to
\nthe public through the country's stock market in two years.<\/p>\n
The four companies are also offering technical assistance and
\nthe transfer of technology to PLN subsidiaries, he told The
\nJakarta Post.<\/p>\n
Both Djiteng and Zuhal declined to give details of the
\nauthorized and paid-up capital of the planned subsidiaries, as
\nwell as the possible stake of foreign partners in the
\nsubsidiaries.<\/p>\n
\"Please wait until we complete our financial reports in March
\nnext year and after we sell some of our assets,\" Djiteng said.<\/p>\n
He added that PLN has now sold a number of its assets worth Rp
\n1 trillion (US$459.55 million) to third parties. By March, PLN
\nwill have completed the inventory of its assets and disbursed
\nthem to PLN as the holding company and its subsidiaries.<\/p>\n
Zuhal said that after the operation of two subsidiaries, PLN
\nwill set up another subsidiary which will be responsible for
\nelectricity distribution and transmission.<\/p>\n
PLN, now operating power plants with a total capacity of
\n12,000 megawatts (MW) and 11,000-kilometer transmission networks,
\nplans to set up more power plants with a combined capacity of
\n13,000 MB in the coming five years. (fhp)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/electricity-firm-seeking-partners-in-joint-ventures-1447893297",
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"sponsor": "Okusi Associates",
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