PLN to have 500 kV Sumatra power grid operational by late 2026

Published on 14/03/2024 at 10:24 GMT+7
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State electricity company PT PLN aims to have the 500-kilovolt (kV) Muara Enim-New Aur Duri Extra High Voltage Transmission Line operational by late 2026.

This project, part of the third package of Sumatra's power grid transmission network, was initially undertaken by PT Waskita Karya (WSKT). However, due to funding difficulties, Waskita halted the project, leading PLN to terminate the contract and initiate a new tender process.

The Muara Enim-Perawang transmission project is vital for Sumatra's power network, serving as a backbone infrastructure. Divided into three packages, the project involves constructing transmission lines and substations to improve power distribution across the island. Despite delays and increased costs, PLN remains committed to completing the project to ensure a reliable power supply for Sumatra.

As a consequence of the prolonged construction period, the Indonesian Supreme Audit Agency (BPK) estimates a potential increase in the minimum electricity supply cost (BPP) by at least Rp13.91 trillion. The delay in the transmission project also affected the commercial operation date (COD) of the Sumsel-8 coal-fired power plant, causing financial challenges for the project developers.

Overall, PLN's initiatives to enhance Indonesia's power infrastructure demonstrate the government's commitment to ensuring energy security and supporting industrial growth. Through strategic investments and collaborations, Indonesia aims to meet its growing energy demands while transitioning towards a more sustainable energy mix.

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