US-Indonesia Sign 35,000MW-Projects MoU

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  • Menteri ESDM Sudirman Said bersalaman dengan Duta Besar Amerika Serikat Robert Blake saat acara penandatanganan kerjasama mengenai Power Working Group antara Indonesia-Amerika Serikat di kantor PLN Pusat, Jakarta, 2 September 2015. TEMPO/Wisnu Agung Prasetyo

    Menteri ESDM Sudirman Said bersalaman dengan Duta Besar Amerika Serikat Robert Blake saat acara penandatanganan kerjasama mengenai Power Working Group antara Indonesia-Amerika Serikat di kantor PLN Pusat, Jakarta, 2 September 2015. TEMPO/Wisnu Agung Prasetyo

    TEMPO.CO, Jakarta - The United States has signed a memorandum of understanding with the Indonesian government to cooperate in the 35,000 MW power plant project. Through this cooperation, the US is eyeing plant projects with clean energy and new renewable energy sources.

    "We will establish a working group comprising of several US companies, PLN, and the Ministry of Energy and Mineral Resources," US ambassador to Indonesia Robert O. Blake Junior said at PLN headquarters, Tuesday, September 2.

    Blake said the working group will involve at least 52 top companies and 11 government agencies consisting of independent power companies, construction companies, engineering firms, financial consultants, and other companies related to the electricity industry.

    Some of those companies include General Electric, Caterpillar, and IBM.

    No detailed targets have been made for the project. "We are still exchanging information and opinions as well as deciding on numbers," said Blake.

    Amin Subekti, PLN director of strategic procurement and primary energy, said the US is aiming for power projects with gas and new energy, both accounting for a fairly large portion of the 35K MW project; 13,000 MW for gas and 3,700 MW for new and renewable energy.

    In May 2015, the Indonesian government launched the 35K MW project to pursue a nation-wide electrification ratio. According to the plan, there will be 291 power plant projects with an estimated investment of US$ 72.942 billion. The investment amount does not include land acquisition costs, taxes, and interest-rate loans during the construction period.

    GUSTIDHA BUDIARTIE | ABDUL AZIS