Regarding Green Industry And Green Energy, PT Kayan Hydro Energy Has Started A Decade Ago

The use of green energy for the green industry by PT Kayan Hydro Energy has been started 10 years ago. (Special)

JAKARTA - The discourse on Green Industry (green industrial park) and Green Energy (green energy), actually PT Kayan Hydro Energy (KHE) has started since a decade ago. It turns out that this is in line with President Joko Widodo who is also focusing on developing a green economy, including green industrial areas.

KHE has been developing a Hydroelectric Power Plant (PLTA) project in North Kalimantan since 2011, is the initiator of a hydropower project consisting of five Cascades on the Kayan River, Long Peso District, Bulungan Regency, North Kalimantan.

KHE Director of Operations Khaeroni explained that his party had done various things related to electrification for industrial and port needs. “Technical, social, economic, cultural studies, as well as the socialization and licensing process for hydropower development have been completed. And, KHE has received a 5A3 rating from Dun & Bradstreet," explained Khaeroni when contacted on Tuesday, August 4.

Opening of roads for the construction of an explosives warehouse and PT Kayan Hydro Energy hydropower plant. (Special)

Regarding investors and companies outside KHE who want to build similar projects, Khaeroni admitted that he did not know. "I don't know about the news outside. Of course, KHE started in 2011 or ten years ago and has now obtained all permits, except for the stipulation of the Borrow-to-Use Forest Area Permit (IPPKH),'' explained Khaeroni.

Work Process

KHE has carried out road construction work from the local government road to the Kayan Cascade hydropower plant along 11.2 kilometers. KHE has also delivered project equipment and built explosives storage warehouses to make work easier.

This year, KHE has prepared infrastructure to support the construction of the Kayan Cascade hydropower plant, which has the potential to generate 9,000 megawatts of electricity.

The process of land clearing for the construction of public facilities (Fasum) of PT. Kaya Hydro Energy. (Special)

Investment

The investment value of KHE for this hydropower plant reaches 17.8 billion US dollars. On October 31, 2018, KHE has also signed an engineering, procurement, and construction (EPC) contract with Sinohydro Corporation Limited, which is one of the largest hydropower developers in the world. "The target for the Kayan hydropower plant is in accordance with the initial planning, namely construction completed in 2024 and the commercial operation date (COD) stage in 2025," said Khaeroni.

Khaeroni hopes that the hydropower development project will run optimally so that later this large power source can be integrated with the Tanah Kuning-Mangkupadi Industrial and International Port (KIPI) Zone.

“We have obtained permits for industrial estates. This year we have acquired around 1,500 hectares of land and will continue to reach 5,000 hectares,” explained Khaeroni adding that KHE is indeed committed to promoting the concept of Green Industry development and the use of Green Energy.