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NEWS UPDATES 7 November 2009

Indonesia to remove power restrictions in Java and Bali

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Indonesian government is planning to revoke emergency decrees in January next year that previously required businesses in Java and Bali to cut electricity consumption, an official was quoted by the Jakarta Post as saying Thursday.

Director general for electricity and energy usage at the Energy and Mineral Resources Ministry, J Purwono, said that the decrees would no longer be necessary.

“Starting 2010 power reserves in Java and Bali will be sufficient as three power plants are set to fully operate,” Purwono said Thursday.

In a bid to cut power consumption and prevent blackouts, five ministries set out restrictions enforced by decrees in mid 2008 obliging manufacturers to shift up to two working days a month to the weekend.

Non-manufacturers including hotels, shopping malls and private offices, were also obliged to reduce electricity use by 10 to 20 percent.

Companies that operated 24 hours a day or seven days a week  were however exempted.

The decrees were signed by the Energy and Mineral Resources Minister, the Industry Minister, the Home Minister, the Manpower and Transmigration Minister and the State SOE Ministry.

Purwono said that the operation of  three steam-generated power plants, located in Labuan in Banten province, Rembang in Central Java and Indramayu in West Java would give sufficient power reserves, “so that we will face no more blackouts even without businesses cutting electricity consumption,” Purwono said as quoted by Antara.

The power plants are part of the government’s first 10,000megawatt accelerated electricity program.

According to Purwono, the first unit of Labuan plant with 300 megawatts of capacity has been in operation since September, while the second unit, also with 300 MW, is planned to start next month.

Rembang power plant unit I with 315 megawatts of capacity and Indramayu power plant unit I with 330 megawatts of capacity are  planned to start operating in December.

The second units of both Rembang and Indramayu plants, with the same capacity as their first units, are expected on line in January 2010.

The government decree requiring restrictions became necessary when an operating power plant had to be shut down. State power firm PT PLN reported  at that time that its power reserve was between 500 megawatts and 600 megawatts, half of the ideal required amount, necessitating  reductions in power use.

The implementation of the regulation was previously designed to help reduce power consumption during peak hours, particularly on work days, by between 200 and 300 megawatts.

“There was an electricity surplus of 1,000 megawatts on weekends, while there was a deficit of 600 megawatts on Mondays to Fridays,” Purwono said at that time. 



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