Thu, 09 Oct 1997

Salak plant connected to Java-Bali grid

JAKARTA (JP): The Salak geothermal power plant Unit 4 in West Java, which was codeveloped by PT Unocal Geothermal Indonesia and state-owned oil and gas company Pertamina, has been connected to the Java-Bali power grid, Pertamina said yesterday.

Unocal Geothermal Indonesia is a subsidiary of the United States electricity company Unocal Corporation.

Pertamina spokesman Ramli Djaafar said the 55 Megawatt (MW) power unit was connected to the grid on Sept. 30.

The power unit is one of three power units being jointly developed by Unocal and Pertamina, and the first to be connected to the Java-Bali power grid.

The two other power units, called Salak Unit 5 and Salak Unit 6, are under the commissioning stage and will be soon connected to the Java-Bali power grid, he said.

The Salak Units 5 and 6 also will have a capacity of 55 MW each, he added.

The construction of the Unocal-Pertamina's Salak geothermal power plants were among 10 power plant projects allowed to continue by the government amid the current monetary crisis.

The government has postponed or reviewed dozens of government projects and government-related projects, including 19 power projects, in an effort to overcome the monetary crisis.

State-owned electricity company PLN said that PT Pembangkitan Listrik Jawa-Bali I -- a PLN subsidiary -- currently operates three geothermal power units at the Salak power plant, referred to as Salak Units 1, 2 and 3.

Salak Units 1, 2 and 3 also have a 55 MW capacity.

Djaafar said the Salak power plant would become the country's largest geothermal power plant complex once all the three power units developed by Unocal-Pertamina came on line next year.

According to PLN data, the three Unocal power units are worth US$266 million.

The power purchase agreement signed by Unocal, Pertamina and PLN in 1994 states that PLN would buy power from their power units for 8.4 U.S. cents during the first 14 years of the contract and for 4.9 cents from the 15th to 30th years. (jsk)