Tanjung Jati A, C projects under review
JAKARTA (JP): Giant Tanjung Jati A and C power projects, both located in Central Java, are among nine power projects under review as part of the government's retrenchment program.
The program, announced Tuesday, includes the rescheduling or review of Rp 105 trillion (US$35.6 billion) worth of government and state-related projects.
According to official data made available to The Jakarta Post yesterday, nine power projects worth US$4.87 billion will be reviewed, 14 projects worth $5.09 billion will be postponed and six projects worth $6.87 billion will be continued.
The coal-fired Tanjung Jati C power plant with a 1,320 Megawatt (MW) capacity sparked controversy recently after members of the House of Representatives criticized the government for granting the project to PT Consolidated Electric Power Asia (CEPA) Indonesia without tender.
The government approved the project in return for CEPA's willingness to lower power prices from its coal-fired Tanjung Jati B power project, located near the Tanjung Jati C power project in Jepara, Central Java.
Tanjung Jati B is 80 percent owned by Hopewell of Hong Kong and PT Impa 20 percent.
The coal-fired Tanjung Jati A plant, with a 1,320 Megawatt (MW) capacity and located close to Tanjung Jati B, is owned by PT Bakrie Power Corporation, PT Maharani Paramitra, Energy Power Holding II Ltd and Tomen Power Corporation.
Maharani is owned by President Soeharto's daughter Siti Hediati Prabowo.
Other power projects under review are the fuel-fired Pare Pare power plant in South Sulawesi, the Asahan hydropower plant in North Sumatra, the geothermal Patuha Unit I plant in West Java, the geothermal Dieng Unit 1,2,3 power plant in Central Java and the geothermal Bedugul Unit 1,2 power plant in Bali.
State Minister of National Development Planning Ginandjar Kartasasmita earlier said power projects which fell under the "review category" still had a chance to go ahead as long as their investors could sufficiently finance the project.
According to the data, power projects to be postponed include the East Palembang power plant, the Cilegon power plant, the Pasuruan power plant, the Cilacap power plant, the Serang power plant, the Salak power plant, the Sarulla power plant, the Karaha power plant, the Cibuni power plant, the Drajat power plant, the Sibayak power plant, the Patuha Unit 2,3,4 power plant, the Dieng Unit 4 power plant and the Bedugul Unit 3,4 power plant.
The six power projects to be continued include the Paiton I plant, the Tanjung Jati B plant, the Paiton II plant, the Sengkang plant, the Sibolga A plant and the Amurang plant. (jsk)