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Chinese contractors win bids for Indonesian power plant projects

(Xinhua)
Updated: 2006-12-10 10:14

The China National Technical Import and Export Corp (CNTIC) and the Harbin Power have won bids for two steam-powered electric generator projects respectively in Indonesia, a local media reported Saturday.

The CNTIC won the bid for the project in Suralaya of Banten province with capacity of 625 mega watts, valued at 473.7 million US dollars, the Bisnis Indonesia daily reported, quoting the committee of the auction.

THe Harbin Power became the winner of the bid for the Paiton project in East Java province with capacity of 660 mega watts valued at 522.8 million US dollars, the committee said.

The final bid was participated by four bidders comprising three companies from China and one from Japan, according to the Indonesian Ministry of Mines and Energy.

The two projects, aimed to reduce Indonesia's dependency on fuel, are part of the government's plan to establish 10,000 mega watts power plants, which will be complete within three years, said Indonesian Minister of Mines and Energy Purnomo Yusgiantoro.

Indonesia will reduce the use of fuel oil to generate power from 30 percent at this time to 5 percent in 2009.

The oil production in Indonesia has been declining due to aging of some oil wells and the slow of finding new well.

Indonesia's power plants have a total capacity of 25,000 mega watts, but the demand grows by 6 to 7 percent or 2,000 to 3,000 mega watts annually, according to the minister.