Sign up | Log in



Home  >>   Daily News  >>   Indonesia  News  >>   Energy  >>   Controversial late night Indo rate cut planned
NEWS UPDATES Asean Affairs        28  February 2011

Controversial late night Indo rate cut planned

Related Stories

February 10, 2011
Coal gasification plants rise in Indonesia

February 8, 2011
No more delays for Indonesian coal shipments

February 3, 2011
Indonesia urged to up oil price estimate

February 2, 2011
Transparency in Indo oil, gas sector

January 22, 2011
Indonesian utility questions power cap

State power utility Perusahaan Listrik Negara plans to cut industrial electricity rates for late-night use, it said on Sunday, but the plan is not favored by some manufacturers.

Tariffs will be lowered for industrial use between 11 p.m. and 7 a.m. During peak hours of 5 p.m. to 10 p.m., PLN claimed, it has to produce 5,000 extra megawatts of electricity. The proposed cut is aimed at encouraging industries to shift their operations to off-peak hours to help balance out usage.

“PLN is hoping to decrease electricity usage during the day. If possible, industries can move all their operations to the night,” PLN said in the statement, suggesting that industries would rather overtime costs than expensive power bills.

“This will also provide a chance for workers to earn additional income because by working at night they should receive additional pay,” said Dahlan Iskan, president director of PLN.

Industries pay an average of Rp 730 per kilowatt hour. If PLN’s proposal takes effect, they will pay Rp 550 per kwh for those overnight hours.

PLN public relations manager Agus Trimukti said in the statement that the rate cut would take place in the near future but did not specify a date.

Initial reaction to the proposal was less than enthusiastic.

“Most laborers do not like late working hours. Performance quality is also lower in night-hour production,” Sofyan Wanandi, chairman of the Indonesian Employers Association (Apindo), said on Sunday.

Only a small portion of industries in Indonesia would benefit from the change, he said.

“Ten to 20 percent of industries operate in three shifts, such as petrochemicals, metals and some textile factories. Only those will benefit from this structure,” he said.

PLN has been under pressure to bring down its operational costs. The government ordered it last month to stop using diesel to fuel its power plants and switch to cheaper coal or natural gas, but it has blamed a lack of infrastructure for gas distribution for its continued reliance on more expensive diesel.

The utility has also received rebukes from lawmakers in the House of Representatives when Energy Minister Darwin Zahedi Saleh suggested this month that PLN would need greater electricity subsidies to deal with high coal prices and shrinking gas supplies.

Reach Southeast Asia!
10- Nations, 560- Million Consumers
And $1 -Trillion Market
We are the Voice of Southeast Asia Media Kit
The only Media Dedicated to Southeast Asia Advertising Rates for Magazine
  Online Ad Rates

Comment on this Article. Send them to

Letters that do not contain full contact information cannot be published.
Letters become the property of AseanAffairs and may be republished in any format.
They typically run 150 words or less and may be edited
submit your comment in the box below




1.  Verifier

1. Verifier

For security purposes, we ask that you enter the security code that is shown in the graphic. Please enter the code exactly as it is shown in the graphic.
Your Code
Enter Code

Today's  Stories    28  February 2011 Subsribe Now !
• Transportation on the Mekong urged
Subcribe: Asean Affairs Global Magazine
• Controversial late night Indo rate cut planned Asean Affairs Premium
• Indonesia invests $80 billion in manufacturing
• Laos plans B2.8bn bond
Research Reports
on Thailand 2007-2008

•Textiles and Garments Industry

•Coffee industry

•Leather and footwear industry

•Shrimp industry

• AIRASIA X to appoint Y.B. Tan Sri Rafidah Aziz as chairman
• Philippine telecoms seek broadband perks
• US developer seeks to expand in Asia
• Brackish water arrives early in Mekong Delta
Asean Analysis    28   February 2011 Advertise Your Brand
• Threats to the Mekong rise Sponsor Our Events
Asean Stock Watch    28  February 2011
• ASEAN Market Outlook
Global News Impacting Asia    17 November 2010
• Bank of America sees Asian inflation
• Lloyd’s increases insurance push in Malaysia
• Wells Fargo analyst on euro
• Obama’s visit to Asia

ASEAN NEWS UPDATES      Updated: 04 January 2011

• Women Shariah scholars see gender gap closing
• Bank Indonesia may hold key rate as inflation hits 7 percent

• Bursa Malaysia to revamp business rules
• Private property prices hit new high in Singapore
• Bangkok moves on mass transport
• Thai retailers are upbeat
• Rice exports likely to decline
• Vietnamese PM projects 10-year socioeconomic plan


This year in Thailand-what next?

04 January 2011
By David Swartzentruber      

It is commonplace in journalism to write two types of articles at the transition point between the year that has passed and the New Year. As this writer qualifies as an “old hand” in observing Thailand with a track record dating back 14 years, it is time take a shot at what may unfold in Thailand in 2011.

The first issue that can’t be answered is the health of Thailand’s beloved King Bhumibol, who is now 83 years old. He is the world's longest reigning monarch, but elaborate birthday celebrations in December failed to mask concern over his health. More

Home | About Us | Contact Us | Special Feature | Features | News | Magazine | Events | TV | Press Release | Advertise With us

Our Products | Work with us | Terms of Use | Site Map | Privacy Policy | Refund Policy | Shipping/Delivery Policy | DISCLAIMER |

Version 5.0
Copyright © 2007-2015 TIME INTERNATIONAL MANAGEMENT ENTERPRISES CO., LTD. All rights reserved.
Bangkok, Thailand