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Indonesia signs contracts with independent power producers

18 January 2007 - The Indonesian government has signed ten contracts with independent power producers (IPP) valued at some $462 million.

Under the agreement signed on 17 January, state-owned electricity PLN will pay up to $0.05 per kWh of power generated by the ten IPPs. The IPP will build coal-fired power plants with a total capacity of 423 MW to be completed not later than 2010.

The IPP will use power generating units imported from China, said Ali Herman, primary energy and generating director of PLN. He added this year PLN would have additional supply of 500 MW from new power plants built by IPP outside Java.




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