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Beranda Support Mineral Downstreaming, PLN Supplies 170 MVA Electricity to Freeport Indonesia Smelter

Support Mineral Downstreaming, PLN Supplies 170 MVA Electricity to Freeport Indonesia Smelter

Alfathir by Alfathir
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Jakarta, bidiktangsel.com – PT PLN (Persero) is ready to supply electricity needs of 170 MVA to PT Freeport Indonesia's mineral processing and refining facilities (smelters) located in the Gresik Special Economic Area (KEK), East Java. This step is PLN's effort in supporting the government to increase added value for domestic mining products through mineral downstreaming.

The electricity supply commitment was marked by the signing of an Electric Power Sale and Purchase Agreement (PJBTL) between PLN and PT Berkah Kawasan Manyar Sejahtera (BKMS) as the operator of KEK Gresik.

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Director General of Electricity of the Ministry of Energy and Mineral Resources Rida Mulyana hopes that by using PLN electricity, the smelter industry in the country can be more efficient.

"Competitive electricity prices are an important factor, especially for downstream industries. We encourage all industries in Indonesia to be able to use electricity from PLN," said Rida.

PLN's Director of Commerce and Customer Management Bob Saril said electricity is a basic need to support business and industrial activities. To that end, PLN is committed to meeting electricity needs and providing the best service for all customers, including smelter industry customers.

"PLN's role is to serve and provide reliable electricity supply (reliability), quality (quality) and competitive price (price) for smelter industry customers throughout Indonesia, including PT Freeport Indonesia's smelter project as one of the National Strategic Projects in boosting the country's economy," said Bob Saril.

Bob explained, the provision of electricity by PLN to PT Freeport Indonesia through PT BKMS was carried out in four stages, the first stage amounted to 30 MVA in September 2023, stage two amounted to 60 MVA on December 26, 2023, stage three amounted to 110 MVA in March 2024 and stage four amounted to 170 MVA in June 2024.

"The signing of PJBTL PB 170 MVA with 100 percent BKMS to supply PT Freeport Indonesia smelters in the Gresik KEK area," he explained.

The provision of electricity for PT Freeport Indonesia smelters is supplied through two subsystems of 150 kV, namely Krian subsystem 3.4 and Ngimbang subsystem of 2 circuits each.

In this PJBTL, PT Freeport Indonesia's smelter becomes a premium platinum electricity customer.

"With PLN's focus on providing reliable electricity without stopping, customers can also focus on more productive businesses supporting the progress of the smelter industry in Indonesia," he explained.

In support of providing electricity supply from green energy, PLN has the latest product, renewable energy certificate (REC). Where 1 REC unit represents 1 MWh of new renewable energy at a plant in a given time. This program can be utilized by industry players who contribute to the use of environmentally friendly electricity.

"Rec service fee of Rp 35,000 per MWh that can be purchased by PLN customers and non-PLN customers," he said.

President Director of PT Freeport Indonesia Tony Wenas explained that Freeport finally uses PLN electricity because the price of electricity is able to compete so that it can streamline factory operations in the future.

"It turns out that using PLN electricity is not too expensive as well. This is also our step to take advantage of excess electricity capacity in East Java, "said Tony.

President Director of PT BKMS, Bambang Soetiono Soedijanto, revealed, with the entry of PLN electricity into the Java Integrated Industrial & Ports Estate (JIIPE) region further increases investor confidence to be able to invest in Indonesia. This cooperation can be a showcase for the business world that the electricity supply in JIIPE is reliable and the supply is abundant.

"Of course, with electricity from PLN can increase the competitiveness of the industry and can also invite other industries to join JIIPE," bambang said. (Red)

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