Indonesian state utility company, Perusahaan Listrik Negara or PLN, is set to consume as much as 96 MnT of coal in CY19, partially to fund the government’s additional 35,000 megawatt (MW) power program; Kontan reported quoting Harlen, head of coal division at PLN.
Last year, the state power company PLN had taken 91.1 MnT coal, slightly below its target of 92 MnT, the newspaper reported.
Harlen said that the Jakarta-based company is expected to take 23.6 MnT of coal in the first quarter of CY19, at an average of 7.5-8 MnT per month.
PLN’s coal need is supplied by the Indonesian coal miners under the domestic market obligation (DMO).
Bambang Gatot Ariyono, director general of mines and coal at the Energy Ministry said last week that coal production in Indonesia was expected to hit 479.83 MnT in CY19.
Of the total coal production, around 128.33 MnT will be secured under the DMO in CY19, with its detailed breakdown as follows: 95.73 MnT for PLN, 5.4 MnT for metallurgic use, 1.49 MnT for fertilizers, 16.5 MnT for cement industry, 3 MnT for textile industry, 6.2 MnT for paper industry and 14,500 MT for briquettes.
However, Gatot Ariyono was still critical of the fact that the Energy Ministry has not been able to determine the exact amount of coal for domestic use under DMO, as the government has not approved the coal production plan specified by individual coal miners.
“This is temporary assessment, the actual budget proposal has not been set,” Gatot Ariyono said.
Last year, the actual amount of coal for domestic use under DMO was 115.09 MnT. Of which PLN had taken 91.14 MnT of coal, metallurgic industry (1.75 MnT), fertilizer (22.18 MnT); cement, textile industry and others accounted for the rest, Kontan reported.
Leave a Reply