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Lumut Balai Unit 1 PLTP is targeted for COD in August 2019

LUMUT BALAI - Director General of New, Renewable Energy and Energy Conservation (EBTKE), F.X Sutijastoto, yesterday (1/7) made a work visit, directly observing the progress of the acceleration of Commercial Operation Date (COD) of Lumut Balai Unit 1 55 MW PLTP. COD is expected to be carried out in August 2019 and does not experience a setback, which was previously planned in July 2019.

Also present at the work visit, the Geothermal Directorate Team, the Director of Engineering and Environment of the Directorate General of Electricity and MEMR, PT. Pertamina Geothermal Energy (PGE) as the developer of Lumut Balai PLTP and PT. PLN (Persero).

The Government through the National Energy General Plan (RUEN) has set a target of Geothermal development of 7,242 MW in 2025, where the installed capacity until June 2019 is 1948.5 MW (only 26% of the target). Until June 2019, PT. PGE is one of the largest geothermal developers in Indonesia, where to date the installed capacity of PGE Own Operations has reached 617 MW consisting of PLTP Kamojang (235 MW), PLTP Ulubelu (220 MW), PLTP Lahendong (120 MW) , PLTP Karaha (30 MW) and PLTP Sibayak (12 MW). In addition, the installed capacity of the PLTP is managed through the Join Operation Contract (JOC) mechanism of PT. PGE with a contractor of 1,198 MW consisting of PLTP Salak (377 MW), PLTP Darajat (271 MW) and PLTP Wayang Windu (220 MW), PLTP Sarulla (330 MW). So that the total installed capacity of WKP managed by PT. PGE of 1,815 MW or 93% of the total installed capacity in Indonesia.

To increase the installed capacity, one of the efforts of PT. PGE is accelerating Lumut Balai Unit 1 COD by 55 MW in 2019. Lumut Balai Unit 1 COD was initially targeted for December 2018, but there are several obstacles that cause the new COD to be implemented in 2019.

Some of the constraints to the implementation of the COD include the limited area for power plant locations considering that Lumut Balai WKP is generally a high and steep topography so that it requires mitigation of potential landslides that are quite complex, backfeeding that cannot be done immediately, and unfinished readiness of the transmission network infrastructure.

On this occasion, Director General Toto said that the Ministry of Energy and Mineral Resources had made several guiding and supervision efforts for the Lumut Balai PLTP project, including (1) progress monitoring through monthly and quarterly reports as well as annual RKAB; (2) monitoring safety, occupational health and environmental protection; (3) monitoring supervision directly to the location; and (4) Facilitation Meeting between PT PGE and PT PLN regarding the acceleration of COD Lumut Balai PLTP.

For the acceleration of COD Lumut Balai and other EBT projects, especially geothermal energy, his party recommends several things including encouraging PT. PLN should immediately make efforts to accelerate the resolution of land issues in the 150 kV transmission line and ROW at SUTET 275 Kv Lahat-Lumut Balai.

Director General Toto also suggested that there should be an optimization of the BUMN Synergy program to increase investment, including through joint development programs. In addition, it is also necessary to conduct socialization by the Directorate of Geothermal for PLTP project areas, especially in areas that have generated PNBP and Production Bonuses to the local community by involving local governments and academics.

Finally, Director General Toto said the importance of incentives for geothermal developers such as the replacement / reimbursement of geothermal developers for the cost of infrastructure development (roads, ports) that the Government should have done. This is sought to boost geothermal investment.

"Efforts to accelerate the COD are carried out to ensure the development of the implementation of the PLTP development in order to be in line with the COD target. By implementing the COD according to the schedule, it is hoped that it can increase the allocation of State Revenues and Regional Revenues from Government Deposit and Production Bonuses," said Director General Toto .

"We hope that the PLTP Lumut Balai Unit I of 55 MW can be implemented immediately, so that the installed capacity in Indonesia can be 2,003.5 MW and can be beneficial to the Government and local communities," he concluded. (RWS)

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