By Nova Farida
Geothermal power producer PT Supreme Energy hopes its request for an extension of the power purchase agreement (or PPA) between the company and state-owned electricity firm PT PLN for the proposed 2x110 MW PLTP Rajabasa geothermal power plant project in Lampung Selatan Regency, Lampung Province, could soon be approved.
Senior Manager for Business Relations at Supreme Energy, Ismoyo Argo said that once the PPA has been extended, the company would start exploration activities, which are expected to be concluded in 36 months.
“The PPA had actually expired in 2018. We’re currently in communication with PLN, hopefully (the PPA) could be extended soon,” he said.
Supreme and PLN signed the PPA for the PLTP Rajabasa project in March 2012. The company, however, suffered problems particularly with regard to land acquisition process amid legal dispute with local villagers and lengthy process in obtaining the required permit from the Ministry of Forestry and Environmental Affairs. While these problems have been finally resolved, the effective date of the original PPA had expired in April of last year.
Ismoyo said that if exploration activities could be started soon, the power plant project is targeted to be completed in 2025. “Hopefully we could still meet the (completion date) target,” he said.
Editing by Reiner Simanjuntak
