Safe Reserves, PLN EPI Supply 3.4 Million Tons Of Coal For 3 PLTUs

Illustration (Photo: Doc. Antara)

PT PLN Energi Primary Indonesia (PLN EPI) through its subsidiary PLN Coal Niaga (PLN BBN) supplies coal needs for three power plants spread across Java and Kalimantan operated by Independent Power Producers (IPP).

President Director of PLN EPI Iwan Agung Firstantara explained that PLN coal Niaga runs a coal trade business for Independent Power Producers (IPP) generators and ensures a safe primary energy supply for IPP plants.

According to him, this step was taken to maintain the stability of coal supply in each generator so as to prevent the risk of an energy crisis.

"This business is not only to meet the needs of two parties alone, but also to meet the energy needs of the country's people. Currently, coal is one of the cheapest raw materials in electricity production which will have an impact on electricity tariffs and subsidies from the government," said Iwan to the media quoted on Thursday, May 11.

Iwan explained, through this collaboration, the results of the business transformation carried out by PLN EPI were able to bring certainty of supply so as to prevent an energy crisis.

"Security of Supply, which is currently PLN's vision, is able to be well fulfilled through long-term contracts," continued Iwan.

Iwan added, not only maintaining good governance, PLN BBN also supplies coal with the best quality guarantees. The specification of coal calories provided by PLN BBN is also in accordance with the Certificate of Sampling and Analysis (CoA).

President Director of PLN Batu Bara Niaga Kanapi Subur Dwiyanto explained, PLN BBN will supply coal needs for PLTU Cilacap Unit 3 (660 MW) and Unit 4 (1000 MW) operated by PT Sumber Segara Primaya (S2P).

PLN BBN supplies 1.6 million metric tons of coal to ensure the continuity of electricity production in the Southern Java system.

"Based on a monthly basis, this generator requires 200 thousand metric tons. Through this collaboration, IPP has secured a supply certainty of 1.6 million metric tons during this one year," explained Kanapi.

PLN BBN supplies coal with a calorie quality of 3800 kCal/Kg AR. The first presentation takes place on May 7, 2023. PLTU IPP Cilacap 3 and 4 belonging to PT S2P will supply electricity to the 500 kilo volt electricity system (kV) Java-Bali. This plant is expected to produce electrical energy of 9,700 Giga Watt hour (GWh) per year.

The second collaboration, PLN BBN will supply coal needs for PLTU Kaltim 4 (110 MW) of 1.1 Million Metric Tons, PLTU IPP Embalut Unit 1, 2 (2times25 MW) and PLTU Embalut Expansion (30 MW) of 720 thousand Metric Tons with a total coal delivery of 1.8 million metric tons per year. PLTU Embalut is operated by PT Cahaya Fajar Kaltim (CFK) and PLTU Kaltim 4 operated by PT Indonesia Energi Dynamics (Indoeka).

In one month the need for coal for these two PLTUs is 155,000 metric tons with coal supplied with a calorie quality of 3800 - 4200 kCal / Kg (AR).

"We took this step to secure the supply of coal for PLTU IPP Embalut 1, 2 and Expansion as well as PLTU IPP Kaltim 4 located in Tanjung Batu, Kutai Kertanegara Kaltim in order to maintain the continuity of electricity production in the Mahakam Kalimantan system which includes Samarinda, Balikpapan, Tenggarong and Bontang," explained Kanapi.

Director of PT CFK and PT Indoeka, Daniel Mahendra Yuniar, appreciated the cooperation between the two parties. He said it was an honor and trust of PLN EPI, especially PLN coal Niaga, to supply coal to its IPP plant.

"Hopefully this collaboration with PLTU IPP Embalut/Embalut Expansion and PLTU Kaltim 4 can meet the energy needs in East Kalimantan areas that are urgently needed by the community," added Daniel.