Government claims power shortage has subsided

Government claims power shortage has subsided

Leony Aurora, The Jakarta Post, Jakarta

The number of areas across the country suffering a power shortage
has declined by more than 50 percent, or less than 10 regions, a
top energy ministry official has said.

Ministry of Energy and Mineral Resources Secretary-General
Luluk Sumiarso, speaking on Tuesday on the sidelines of the
National Energy Congress, said more than 20 areas had previously
been battling a shortage of electricity.

One measure taken by state power firm PT PLN to solve the
power shortage was to develop a transmission network linking
South Sumatra and West Sumatra.

"We have substantial water potential in West Sumatra (to move
power plants' turbines)," said Luluk. "When water is abundant,
electricity can be transmitted to the southern areas (of
Sumatra)."

Several areas suffered power shortages a few months ago, when
the water level in reservoirs used by hydropower stations dropped
during the dry season.

West Sumatra, Riau and Jambi were among the provinces that
experienced long and frequent power cuts, which were carried out
on a rotation system by PLN branches to conserve the local power
supply. The provinces lost power for three to six hours a day,
and sometimes for six to 10 hours a day.

Power has become an increasingly serious issue over the past
few years, as demand continues to grow but supply remains
stagnant due to a lack of investment.

PLN has said it would need some US$5 billion in new investment
for the 2002-2006 period and $28.5 billion over the next 10
years.

Chairman of the Indonesian National Committee of World Energy
Council Hardiv Situmeang reiterated the urgency for the
government to promote the use of renewable energy.

"Studies have proved that in the long term, (power) plants
using renewable energy are more sustainable (than those using
fossil fuel)," Hardiv told reporters.

To make renewable energy projects more attractive, investor
incentives, such as eligibility to engage in emission trading
under the Kyoto Protocol, should be provided, he said.

The protocol, which will come into effect early next year,
commits 55 industrialized nations to making significant cuts in
the emission of greenhouse gases by 2012.

One means of fulfilling the protocol is to provide funds for
sustainable projects in countries that do not have emission
reduction targets.

"The government needs to speed up the establishment of a
national body to offer such projects to industrialized
countries," said Hardiv. "Otherwise, other better-prepared
countries like Vietnam, Malaysia and India will outrun us."