INDONESIA AS NEW EMERGING MARKET

Thursday, June 29, 2006

INDONESIAN NUKE PLANT WILL BE TENDERED ON 2007

Rendi Akhmad Witular, The Jakarta Post, Jakarta

The government will hold a tender next year to select contractors to construct the country's first nuclear power plant, a minister says.

"The nuclear reactor is part of our national energy policy. It will come onstream between 2015 and 2016 in Gunung Muria (in Central Java). We will launch the tender next year so as to be able to meet the deadline," Energy and Mineral Resources Minister Purnomo Yusgiantoro said Wednesday after meeting Vice President Jusuf Kalla.

He said that investors interested in bidding should have a proven track record in the construction of pressurized water reactors. Most such companies come from the United States, Japan, France and South Korea.

The reactor is expected to be able to produce a total of 4,000 megawatts (MW) by 2025. The National Nuclear Power Agency (Batan)'s Nuclear Energy Development Center will coordinate the ambitious project.

When asked whether the reactor would be producing electricity by 2011, as stated Tuesday by Research and Technology Minister Kusmayanto Kadiman, Purnomo said this would be impossible.

"It will require comprehensive studies by our nuclear scientists before the reactor is started. We don't think it will be onstream by 2011. It is just too short a time," said Purnomo, adding that he was not aware of any local investors interested in developing the project as hinted earlier by Kusmayanto.

During the first phase of construction, the Muria nuclear power plant will consist of six generators, with each capable of producing 1,000 MW of power.

The New Order regime under the leadership of former president Soeharto had originally mooted the possibility of constructing a nuclear power plant. However, the suggestion met strong resistance from the public and non-governmental organizations over concerns about public safety and environmental hazards.

Separately, the acting president director of state power utility PLN, Djuanda Nugraha Ibrahim, told reporters that PLN would definitely buy power from the nuclear reactor.

"PLN will need an additional 1,500 MW to 2,000 MW annually after 2016. If the nuclear power plant can supply 4,000 MW, we will definitely buy the power based on the prices set for independent power producers," said Djuanda.

0 Comments:

Post a Comment

<< Home