JAKARTA (RambuEnergy.com) – State electricity company PT Perusahaan Listrik Negara (PLN) and consortium of China Datang Overseas Investment, PT Pembangunan Perumahan and PT Sumberdaya Sewatama have signed Power Purchase Agreement (PPA) to buy electricity from coal-fired power plant (PLTU) Meulaboh with installed capacity of 2×200 MW or 400 MW.
The cost to develop the project is estimated to reach US$600 million.
The power plant will be built in Meulaboh, West Aceh Regency in the Nanggroe Aceh Darussalam (NAD) province. The electricity form the power plant will be distributed to the Sumatera power grid system through a 275 Kv transmission to PLN’s main substation in Nagan Raya.
PLN said in a statement that the power plant will become a base load provider with availability factor of 80% per annum.
The consortium will set a special purpose company (SPC) to develop the power plant. The project will be developed through Build, Own, Operate and Transfer (BOOT) scheme without guarantee from the government.
PLN corporate secretary I Made Suprateka said the project will be funded through equity and loan both from domestic and overseas banks.
The construction of the power plant will take about 39 months since the effective of the PPA followed by commercial operation date (COD) scheduled for mid 2020.
The power plant will contribute around 2,803 GWh per annum for a 25 year contract. (*)