Wärtsilä and PT Perusahan Listrik Negara (PLN), the state power company of Indonesia have signed an MoU regarding cooperation on the development of 500MW of power generation solutions and related small scale LNG storage and regasification infrastructure in Indonesia.
The MoU was signed in conjunction with Indonesian State-Owned Enterprises Minister Rini Soemarno’s visit to Finland. The power generation is forecasted to be contracted and installed as several projects during the next two years.
Another major aspect in this agreement is the emphasis put on further developing local Indonesian capability in power projects execution, knowledge transfer and development of local skills.
Thanks to a rapidly developing economy, the standard of living in Indonesia has significantly improved in recent years. Supporting further economic growth requires large investment in the development of infrastructure, particularly in power generation.
An additional priority of the Indonesian government is to ensure equal availability of reliable power supply through the archipelago. In order to reach these targets, an ambitious program of adding 35,000MW of power generation capacity to their system by 2019 was started in 2015. The 500MW of power generation capacity covered in the MoU will help PLN in implementing this program.
“Wärtsilä’s proven capability to deliver high quality, efficient and flexible power plant solutions on a fast-track basis is perfectly suited to the requirements of Indonesia,” says Wärtsilä Energy Solutions president Javier Cavada. “With this MoU, Wärtsilä is also pleased to express its strong commitment towards the development of Indonesian manufacturing skills and knowledge transfer as it is the basis for a mutually beneficial and long relationship.”
Wärtsilä has been present in Indonesia for more than 30 years during which it has installed more than 3GW of power generation capacity. Some of the recent projects using Wärtsilä’s internal combustion engine technology are the 200MW dual fuel Pesanggaran plant, 184MW Arun power plant and the Bangkanai 150MW power plant.
Wärtsilä Energy Solutions is a global supplier of ultra-flexible power plants of up to 600MW operating on various gaseous and liquid fuels. Its portfolio includes unique solutions for baseload, peaking, reserve and load-following power generation, as well as for balancing intermittent renewable energy.
As of 2016, Wärtsilä has 60GW of installed power plant capacity in 176 countries around the world.