Sat, 10 Dec 2005

PLN wins power theft case against big companies

Damar Harsanto, The Jakarta Post/Jakarta

State power firm PLN has won its legal battle over energy theft by five companies, which must pay charges totaling Rp 2.2 billion, depending on the amount of power stolen.

"The courts have handed down verdicts to the companies that were proven guilty of meter tampering," said the general manager of PLN Jakarta and Tangerang, Fahmi Moctar.

Those companies are PT Ramayana Lestari Sentosa and its partner NV Titudjuh (one violation), PT Prima Indah Lestari (two violations), PT Kuradona Gaugetama and PT Sumbereva Indonusa.

"We filed suits in order to deter violators so that they use power in accordance with prevailing regulations," Fahmi said.

The heaviest sanction was imposed on PT Sumbereva Indonusa in Tangerang, which was found guilty of breaking a meter seal. Tangerang District Court told the company to pay Rp 1.12 billion to PLN.

The same court demanded autopart maker PT Kuradona Gaugetama pay Rp 389.28 million over a similar violation.

The Central Jakarta District Court ruled retail company Ramayana and NV Titudjuh, which slowed down the meter's disc -- which usually rotates at a speed proportional to the power used -- to pay Rp 382 million to PLN, while West Jakarta District Court told cablemaker PT Prima Indah Lestari, which crushed powerhouses and cut the wires, to pay Rp 262.98 million for the first violation and another Rp 48 million for the second violation.

Fahmi said a joint team comprising PLN and police officers from National Police Headquarters had been inspecting meters for signs of tampering on a more regular basis as part of efforts to enforce Presidential Decree No. 10/2005 on energy saving.

Head of the team Harry Ronald Wattilette said that, as of November, the team had inspected the meters of 51,605 customers, including businesses and households.

"We've discovered at least 13,077, or 25 percent of the supervised customers have committed violations, ranging from breaking the seals to altering the characteristics of the meter," Ronald said.

Factories and big companies, which use power of 200 kilo volt ampere (KVA) and above are among the violators, he said.

He added that, on average, the power bill of low-income households was about Rp 30,000 per month, while big customers could be charged as much as Rp 1.2 billion per month.

PLN Jakarta said earlier it would intensify its crackdown on illegal connections in order to contain soaring energy theft following the fuel prices increase and the decision to raise power rates.

It said power theft was on the rise as the cost of running electrical generators had increased.

PLN also promised cash rewards for people who informed it of illegal connections, which would amount to 3 percent of the total charges paid by the violators.