REPUBLIKA.CO.ID, JAKARTA -- The scheduled completion of the 35 thousand-megawatt (MW) power projects in 2019 will be delayed if state-owned electricity company PLN does not submit the revised 2016-2025 electricity procurement business plan (RUPTL) until May 20, 2016.
"If PLN delays the submission of its RUPTL, the target (to complete the power projects in 2019) will also be delayed. The construction of a certain number of projects should have been started this year, and therefore, they will also be delayed," Chief of Public Communications of the Energy and Mineral Resources Ministry (ESDM) Sujatmiko informed reporters on Tuesday.
Hence, Sujatmiko said, PLN needs a program, which will take over the delayed power projects.
If PLN does not submit its RUPTL until May 20, 2016, the government will make a decision by taking into account the existing data and the adjustments to the 35 thousand-MW program.
The RUPTL will offer clear guidelines for the development of power projects, thus the government will be able to efficiently monitor them. The RUPTL will also be helpful for investors as they will have certainty in doing their business.
The RUPTL could also be used by regional governments to tackle land problems encountered in setting up power plants or transmission lines, he explained.
"The power procurement plan can be used to study the location of power plants and transmission lines. Hence, if a problem regarding land or spatial planning arises, the local government could provide assistance," Sujatmiko remarked.
He noted that if the PLN had submitted its RUPTL in January, the 35 thousand-MW power projects would have entered the auction phase.
"However, as it is delayed, the auction also got postponed. Therefore, all scheduled auctions should be completed this year if PLN wants to meet its 2019 completion target. If all auction plans are completed this year, then the next task will be to concentrate on completing the construction work," he remarked.
PLN should have submitted the RUPTL in January 2016 for approval by the ESDM minister, yet it has not been sent to the ministry until now.
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