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January 26, 2009

Indonesia to push power plant development
Indonesia will speed up development of new power plants to overcome shortage of electricity supply in the country, reported state news agency Antara.

Indonesia Vice President Jusuf Kalla said here on Saturday the government had already started to build new plants with a total capacity of up to 10,000 megawatt (MW) as of 2008.

More new plants with a total capacity of 10,000 MW would also be built next year, he added.

He said the decision was taken so that demand for electricity at any quantity could be met.

Regarding the funding, he said "money is number two. We can borrow."

He said the new power plants would overcome outages that often occurred, which was actually the result of development. So, outages were actually the result of economic growth that needed increasing supply.

He said as a result of development, for example, people now used room air conditioner. "I also used an air conditioner in the field. All offices from sub-district level are now air-conditioned," he said.

Many lecture rooms at universities have also been air-conditioned, he said. How it could all happen in the past and this showed that demand for electricity was rising, he said.

So, he said, outages were not caused by supply shortage but by increasing demand, he said.

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