Despite Garut regent Agus Supriadi’s request to postpone the inauguration of Kawah Darajat III geothermal power plant, the central government will inaugurate the plant on next Tuesday as per the schedule, the Kompas newspaper reported in its Saturday edition.
This was revealed by the director general of mineral resources at the Ministry of Energy and Mineral Resources Simon F. Sembiring.
The inauguration, according to Simon, will reflect the government’s position to support to create a good investment climate in Indonesia so that they will not have any doubts to invest here.
Talking about the profit sharing issue which is not yet settled, Simon said it should not lead to delay in the inauguration of the plant.
“Due to over expectation of Garut regent regarding profit sharing, this problem came to the surface. The final decision is in the hands of the Minister of Finance,” Simon said.
In order to speed up the process to take a government decision, the Ministry of Energy and Mineral Resources sent a recommendation letter on Friday to the Minister of Finance, he said.
The Minister of Finance is expected to take a decision by end of December.
Garut is seeking 80 percent of the government's share in the plant.
Darajat power plant is being operated by PT Chevron Texaco Energi, which has so far invested US$320 million. After the Darajat III, the plant will generate 245 megawatts. (*)
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