Bosowa starts $250-M coal-fired plant in eastern Indonesia

Bosowa Group inaugurated its first power plant in South Sulawesi.

The coal-fueled plant is valued at $250 million and features two 125-megawatt turbines.

Located in Punagaya village in Jeneponto district, it will boost the electricity supply for South Sulawesi capital Makassar and surrounding areas.

“Makassar will become one of the best cities that can provide adequate supply of electricity and good infrastructure in the country,” said Erwin Aksa, president director of Bosowa Corporation, the holding company of the group.

The plant was built by Bosowa Energy in cooperation with Sumber Energi Sakti Prima, which is engaged in the energy and mining sectors.

Erwin, who is also the president director of Bosowa Energy, said the plant will help state utility company Perusahaan Listrik Negara save Rp 4 trillion ($424 million) in fuel costs in the region.

PLN previously relied on a diesel-powered plant to serve Makassar.

Bosowa Group said in a press release that it has secured a deal to sell 200 MW of electricity to PLN at 5.5 cents per kilowatt-hour. This price excludes the cost of procuring coal. The remaining output will be used as reserves by PLN in case it needs additional power.

In addition to helping meet an increasing demand for electricity in South Sulawesi and West Sulawesi, Bosowa’s power plant will help support increasing demand for electricity in South Sulawesi and West Sulawesi.

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