Sat, 14 Dec 1996

RI agrees to join energy project

JAKARTA (JP): Indonesia and energy companies from a consortium of six industrialized countries signed yesterday a letter of intent on renewable energy to conduct pilot-phase activities implemented jointly.

Renewable energy includes solar, wind, hydraulic, geothermal and other energy sources that are abundant and environment- friendly, with solar and wind being the more widely used in Indonesia.

State Minister of Environment Sarwono Kusumaatmadja told a news meeting that the letter covered a voluntary program between the countries for conducting feasibility studies on reducing the effects of greenhouse gases.

The five year energy project comprises financing, technology transfer, human resources development and technical assistance to the government and private sector, he said.

Sarwono said the terms of the pilot-phase project were non- binding and received voluntary support from the government and the private sector.

He did not elaborate on the value of the investment or what cost per unit would be passed on to the consumer.

Sarwono said that upon the success of the programs, power facilities using this type of energy would be built in other parts of Indonesia and run by the state-owned electricity company, PLN.

The six other companies involved in the program are EDF of Italy, Kansai of Japan, RWE Energie AG of Germany, SCE of the United States, TEPCO of Italy, Hydro Quebec and Ontario Hydro of Canada.

The letter of intent was signed by the ministry office secretary Sudarsono and Ontario Hydro's executive vice president John Fox. (01)