Wednesday, August 29, 2007


29 AGUSTUS 2007


At the beginning of 1990s, the Government of Indonesia considered the need of deregulation in power sector. Starting with privately owned Paiton One, and accelerated by the issuance of Presidential Decree 37 of 1992, the use of private sector financing through IPP(s) has become an integral part of meeting the sector's financing requirements. In late 1993, the Minister of Mines and Energy issued a broad policy framework ("Goals and Policies for the Development of the Electric Power Sub-Sector") to guide the longer-term restructuring of the sector.

The first step of its implementation, Pembangkitan Listrik Negara (PLN), fully owned by the Government, was converted in 1994 from public utility (Perum) to public company (Persero) status, followed in 1995 by the unbundling of PLN's Jawa-Bali generation assets into two new portfolio generation companies. One of the companies is PT PLN Pembangkitan Tenaga Listrik Jawa-Bali I, known as PLN PJB I. The company has been intended to run power generation business and other businesses related to.

On 3 October 2000, at its fifth anniversary, the Management noticed that PT PLN PJB I changed its name into PT Indonesia Power. The change of name is to anticipate the stiffer competition in electricity market and as a preparation to privatize the company in the near future.

Although as a commercial company PLN PJB I was formerly established in the middle of 1990s, it is inherited some power plants and their supporting facilities. The power plants, which utilize computerized technology, use various fuels as their primary energy such as water, coal, geothermal, etc. However, among those, there are several old power plants in Indonesia such as hydro power plants of Plengan, Ubrug, Ketenger and some more which were build in 1920s. The power plants are still in operation until now. Hence, the existence of Indonesia Power is historically as old as the existence of electricity in Indonesia.

The power plants at Indonesia Power are managed and operated by 8 (eight) Generation Business Units: Priok, Suralaya, Saguling, Kamojang, Mrica, Semarang, Perak and Grati, and Bali. As a whole, Indonesia Power has dependable generating capacity of 8,327 MW. This is the biggest dependable capacity for a power generation company in Indonesia.


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