Wika Jabar Power to build geothermal power plant in West Java

Wika Jabar Power is looking for a partner for its 40-megawatt geothermal power plant project in Sumedang, West Java.

The firm, a subsidiary of state construction company Wijaya Karya, has no experience in building geothermal power plants, prompting it to look for a partner, says Wijaya Karya corporate secretary Natal Argawan Pardede.

PT Jasa Sarana, which has a stake in Wika Jabar Power, also has never built a geothermal power plant, Natal said.

"We need a partner not only having the technology but also fund to carry out the project," he said, adding geothermal power project is more expensive than coal fired power project.

At least US$100 million is needed to build a geothermal power plant with a capacity of 50MW or about three times more expensive than a coal or oil-fired power plant with the same capacity, he said.

Natal noted that the company prefers a partner among oil and gas companies with good reputations like Pertamina or Chevron.

The selling price of the company`s geothermal power is yet to be negotiated with the buyer state electric

company PT Perusahaan Listrik Negara, who is required to buy all power generated by independent power producers at a preset price.

The government has set the selling price range for geothermal power at 9-16 US cents per kilowatt hour.

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