Jakarta–State-owned electricity company PT PLN said on Friday (3/8/2012) it plans to auction a procurement project for a 200 mega watt (MW) capacity gas power plant in the Aceh province.
Suryadi Mardjoeki, who heads PLN`s gas and oil division, said the auction will be conducted after Eid al-Fitr.
He pegged the construction cost of the gas power plant project at about one million USD per MW or a total of US$200 million, adding that the construction was expected to last eight months.
“We expect the gas power plant to be operational by next year,” Mardjoeki said, adding that this plant would be constructed at a faster pace than a plant using coal, due its simplicity and because a gas power plant doesn`t need the complex facilities that are a prerequisite for a coal power plant.
The gas power plant will replace a 150 MW capacity diesel power plant which is currently being rented by PLN, Mardjoeki said.
“Once the gas power plant becomes operational, the diesel one will be off.”
Mardjoeki added that new plant will source its gas from the Tangguh Liquid Natural Gas (LNG) project located in the West Papua province.
The Tangguh gas will be delivered to the plant through a receiver terminal in Arun, Aceh, which has been built by PT Pertamina, the state-owned oil and natural gas mining company.(antara)