Germany offers RI $200 million in loans

Germany offers RI $200 million in loans

JAKARTA (JP): Indonesia and Germany signed here yesterday four
loan agreements worth US$200 million to finance four projects in
electricity, transportation and water supply in the islands of
Java, Sumatra, Kalimantan, Sulawesi and Sumbawa.

The electricity projects -- 500 kilovolt Transmission Line
Ungaran-Klaten and Diesel Power Stations DV -- will help the
state-owned electricity company PLN improve its services, the
German Embassy here said.

The Ungaran-Klaten network is aimed particularly at improving
electricity services for the two central Java cities of
Yogyakarta and Surakarta.

The diesel power station is expected to increase generating
capacities for 12 towns in Nias island, off the western coast of
Sumatra; Kalimantan; Sulawesi and Sumbawa.

The transportation project -- Material Packages for Small
Passenger Vessels -- is designed to create transport capacities
at affordable prices and strengthen cooperation between
shipbuilders of the two countries.

The fourth project -- Water Supply Palembang -- will provide
the southern Sumatra city of Palembang with safe drinking water.

With the signing of the four agreements, the cumulative total
of aid provided by Germany to Indonesia has amounted to DM4.8
billion (US$6.72 billion).

Germany is also financing three biodiversity projects in
Indonesia with aid of $15 million.

On the occasion of the UN-Biodiversity Conference in Jakarta,
German Minister for Environment, Nature Conservation and Nuclear
Safety Angela Merkel underlined Germany's interest in
strengthening environmental relations with Indonesia and in
intensifying its biodiversity engagement. (12)