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PT Wijaya Karya Tbk (WIKA) together with PT Perusahaan Listrik Negara (PLN) conducted a ground breaking ceremony to mark the beginning of Borang Diesel Power plant construction 1x60W in Borang Village, Banyuasin regency, South Sumatra (4 / 8).

The ceremony that conducted for approximately two and a half hours was attended by PLN’s Operations Director of West Indonesia Harry Jaya Pahlawan, Director of Operations II WIKA Slamet Maryono, entire officials and representatives of PT Navigat Energy-Medco and local community leaders.

Construction of this diesel power plant using the scheme build-operation-transfer (BOT) with a consortium between PLN – WIKA and Indonesia Energy in accordance with the agreement signed July 11, 2011 and the project will be complete on January 11, 2012.

By using that scheme, the consortium WIKA-Navigat Energy can manage Borang Diesel Power plant within 7 years and then be handed over ownership and management to the PLN. During the period of 7 years of power plant management by the consortium, PLN will hire the power plant at the rate of IDR 495 per kilowatt per hour (kWh).

According to Harry Jaya Pahlawan, construction of Borang Diesel Power Plant 60 MW is a further step to fulfill the needs of electricity energy supply in Sumatra system, especially in South Sumatra subsystem. In addition, the power plant construction is also an effort to PLN in reducing dependence on fuel usage as raw material plants in general. Construction of power plants fueled by gas can save fuel by 117.73 million liters per year, equivalent to IDR 918 billion per year.