News
Feb 06, 2008The Jakarta Post: “Government sets new benchmark price for geothermal power”
The Indonesian Government will be increasing the selling price for geothermal power generated by independent power producers from 5.9 U.S. cents to 10 U.S. cents per kilowatt hour (kWh). The increase in selling price will most likely increase geothermal energy investment in Indonesia, which holds nearly 40 percent of the world’s geothermal energy reserves. This article by Ika Krismantari of The Jakarta Post investigates the price increase as well as the industry reactions from the perspectives of both the state power firm, PLN, as well as the Indonesian Geothermal Association.
The government has set the benchmark selling price for geothermal power generated by independent power producers at between 5.9 U.S. cents to 10 cents per kilowatt hour (kwh).
Director General of Electricity and Energy Utilization Purwono told The Jakarta Post on Tuesday the calculation of the prices was based on the formula generally used by state power firm PT PLN.
“We have agreed the tariff is equal to 80 percent of the total costs PLN usually spends to produce power,” Purwono said.
To view the entire article: The Jakarta Post: “Government sets new benchmark price for geothermal energy”
