PLN seeks backers for Sulawesi power plant

OREANDA-NEWS. Indonesian state-owned utility PLN is seeking potential participants interested in developing, funding and operating a 100MW coal-fired power plant in Sulawesi.

PLNG is seeking participants to register for pre-qualification in a tender closing on 22 October. The tender is open to both domestic and international companies interested in developing two 50MW coal-fired generation units at the Sulawesi Utara 3 independent power project and to operate the plant for 25 years. The contract also includes building a 150kV transmission line linking the project to a PLN facility.

Prospective bidders must have a satisfactory credit rating and have experience of developing large-scale power plant projects, PLN said.

Indonesia plans to add 35,000MW of generation capacity during 2015-19 as part of a national electrification programme. PLN was originally responsible for developing 10,000MW of capacity, while the private sector and foreign investors were expected to help develop the remainder. But the company said earlier this month it has reduced its planned generation power capacity additions by half to 5,000MW and will instead focus on developing electricity transmission infrastructure. It is unclear what proportion of the 5,000MW that PLN plans to develop will be coal-fired power plants.