Indonesian Political, Business & Finance News

Bahlil Forms Special Team to Oversee PLN Coal Procurement

| Source: ANTARA_ID Translated from Indonesian | Energy
Bahlil Forms Special Team to Oversee PLN Coal Procurement
Image: ANTARA_ID

Jakarta (ANTARA) - Minister of Energy and Mineral Resources Bahlil Lahadalia has announced the immediate formation of a special team to supervise coal procurement for state electricity company PT PLN (Persero), aiming to prevent recurring supply issues that could threaten national energy security.

He noted that the coal supply problems faced by PLN are not new, with a similar incident occurring in 2022, necessitating stricter oversight to avoid annual disruptions.

“As the regulator, we see that if this is not supervised, we do not want this to continue. That is why I am forming a team. The procurement team will consist of PLN, the Directorate General of Coal, the Development Finance Comptroller (BPKP), and the Inspectorate General,” Bahlil stated at the Presidential Palace Complex in Jakarta on Monday.

The Ministry of Energy and Mineral Resources, as the regulator, believes stronger oversight is essential to ensure the coal procurement process complies with regulations and that the fuel needs of national power plants are met.

The coal procurement team will involve various parties to strengthen governance and transparency in the procurement process. The government is also open to the possibility of involving law enforcement officials in an advisory capacity to ensure all stages of procurement follow the rules and are free from practices that harm the state.

“We do not rule out the possibility of involving assistance from law enforcement, so that such issues do not happen again,” he said.

Meanwhile, PLN President Director Darmawan Prasodjo and his team arrived at the Presidential Palace Complex on Monday afternoon to report to President Prabowo Subianto on the progress of the rolling blackouts that occurred in Java. Prior to the meeting, Darmawan stated in a press release that the electricity system condition in Java had begun to improve, allowing the rolling blackouts that occurred last week to be minimised as of Sunday (21/6).

Darmawan said the improvement in the electricity system was supported by the resumption of primary energy supplies that meet the specifications required by power plants, both those owned by PLN and by its partners or independent power producers (IPPs), thereby strengthening the resilience of Java’s electricity system. Additionally, a major partner-owned power plant that had previously experienced technical issues was successfully restored and re-synchronised with the Java electricity system on Sunday night. According to Darmawan, the plant has resumed supplying power to the Java grid, helping to bolster the power supply.

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