PLN Allocates PMN Proposal For Speeding Up 4,700 Villages That Haven't Been Electrified

JAKARTA - PT PLN (Persero) targets all villages in Indonesia to be able to enjoy PLN electricity by 2024.

To be able to achieve this target, the company utilizes State Capital Participation (PMN) funds from the government with the approval of the House of Representatives (DPR).

This target is in line with the government's ideals of equitable and equitable access to energy for all Indonesians.

PLN's Director of Corporate Planning, Evy Haryadi, explained that until 2021, the ratio of electrified villages in Indonesia had reached 99.7 percent, or the remaining 293 villages had not yet enjoyed electricity.

However, from this figure there are still more than 4,700 villages that have not yet enjoyed electricity from PLN.

The majority of these villages are located in the outermost, leading and disadvantaged (3T) areas that are difficult to reach.

"This is in accordance with the principle of the 5th precept of our Pancasila. Where is social justice for all Indonesian people. In this case, we must provide equal access to electricity for all Indonesians," said Evy to reporters, Wednesday, June 22.

However, said Evy, electrifying this village is not without its challenges. The reason is that the majority of the electrified village targets are in the 3T area with difficult access, so from a business perspective this is not feasible.

Evy explained, to be able to electrify one family head (KK) in a remote village, it takes Rp. 25 million to Rp. 45 million per family.

"For this reason, this is where the role of PMN is present so that all people, even in villages, can still get access to electricity," added Evy.

Still, Evy said, the current ratio of PLN electrified villages has only reached 90.78 percent.

Where the average for Kalimantan, Maluku, and Papua, the ratio of electrified villages is still below 80 percent.

The total investment to be able to reach the target of 100 percent of PLN's electrified villages needs IDR 18 trillion.

For this reason, PLN proposes an allocation of IDR 10 trillion in PMN in 2023.

This allocation, Evy detailed, will be allocated Rp1.7 trillion for the construction of new and renewable energy-based power plants (EBT).

Meanwhile, Rp. 3.8 trillion will be used for the construction of transmission and distribution and Rp. 4.5 trillion for the construction of distribution networks to the homes of residents in the target villages.

In 2024, PT PLN will again apply for PMN funds of Rp. 8 trillion for the remainder to pursue the target ratio of 100 percent electrified villages.

It is hoped that with this effort the national electrification ratio and the ratio of electrified villages can reach the target before 2025.

"We are optimistic that of course this target can be achieved with the support of all parties. Stakeholders and also the support of all parties. This requires a joint effort to be able to create equal access to electricity for all Indonesian people," said Evy.