Jakarta. Indonesia’s biggest cement producer, Semen Indonesia, is partnering with Japan’s JFE Engineering Corp to build a waste-to-heat power generator in East Java, with a planned investment of around 638 billion rupiah ($54.4 million).
The 30.6-megawatt-plant, which is expected to start operations by end-2016, is aimed at cutting annual electricity costs by around $10 million for Semen Indonesia, a heavy energy user.
State-owned electricity company Perusahaan Listrik Negara (PLN) said in February it planned to increase power tariffs for industrial users by up to 38 percent this year as Southeast Asia’s largest economy seeks to alleviate its bloated energy subsidies.
The cement industry is among the sectors that have been the hardest hit by the tariff hike, Semen Indonesia Chief Executive Dwi Soetjipto told reporters on Tuesday. “This project will reduce our costs and our electricity dependence on PLN,” he said.
Semen Indonesia, Japan's JFE to Build Power Plant in East Java | The Jakarta Globe
The 30.6-megawatt-plant, which is expected to start operations by end-2016, is aimed at cutting annual electricity costs by around $10 million for Semen Indonesia, a heavy energy user.
State-owned electricity company Perusahaan Listrik Negara (PLN) said in February it planned to increase power tariffs for industrial users by up to 38 percent this year as Southeast Asia’s largest economy seeks to alleviate its bloated energy subsidies.
The cement industry is among the sectors that have been the hardest hit by the tariff hike, Semen Indonesia Chief Executive Dwi Soetjipto told reporters on Tuesday. “This project will reduce our costs and our electricity dependence on PLN,” he said.
Semen Indonesia, Japan's JFE to Build Power Plant in East Java | The Jakarta Globe
