10 Feb 2021 ELECTRICITY SECTOR
The electricity system for the East Java and Bali regions is a system that is interconnected with the Java-Bali system to serve electricity needs in East Java, Madura and Bali. Based on 2019 data, the number of customers in East Java and Bali is around 13.48 million customers with a connected power capacity of around 24.39 GVA and a power consumption of around 42.94 TWh.
This distribution system development is needed to accommodate sales growth, additional customers, as well as improvement and increase in the efficiency of distribution system reliability. This is done by constructing a Medium Voltage Network (JTM), a Low Voltage Network (JTR), transformers, and customer connections. In addition, the Project is also expected to encourage the achievement of the national electrification ratio target of 100% by 2021.
The government, in this case the Ministry of Finance, has provided support in the form of a Government Guarantee from the Ministry of Finance and IIGF, which allows AIIB as a multilateral / development financing institution, providing direct loan financing to PT PLN with terms and conditions that are very beneficial to PT PLN because it is equivalent to financing for government (sovereign loan) so that PT PLN can develop these projects with more affordable financing costs and a more efficient investment value so that they can reach more people in the East Java and Bali regions. This accelerates the Government's efforts to increase the National Electrification ratio, especially in underdeveloped, frontier, and outermost (3T) areas with a strategy of increasing access to electricity through expanding the electricity network and playing a role in supporting government efforts to attract private sector investment in this sector.BACK TO PROJECT
|Project Signing||10 Feb 2021|
|Investment Value||USD 1,205 Million|
|Loan Value||USD 310 Million|
|Loan Tenor||20 Years (Door to Door)|
|Implementation Periode||5 Years|
|Guarantee Debtor||PT Perusahaan Listrik Negara (Persero)|
|Creditor/Guarantee Recipient||Asian Infrastructure Investment Bank (AIIB)|
|Location||East Java and Bali|