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Indonesia’s Geothermal Association urges Standard PPA for geothermal plants

Alexander Richter 25 Jan 2010

Indonesia's Geothermal Association is asking the country's government to "issue a standard power purchase agreement (PPA) for geothermal plants.

In local news from Indonesia, the country’s Geothermal Association ask the Indonesian government to “issue a standard power purchase agreement (PPA) for geothermal plants.

“Right now tenders are being organized. If the PPA is not realized, it (the tenders) will be delayed once again.” said the Head of the Indonesia Geothermal Association Surya Darma in Bandung, last Saturday.

The contract standardization for state-owned electricity company PLN electricity buying, he continued, is needed so they do not have to negotiate electricity prices anymore.

The standard is also needed to complement the Energy and Mineral Resources Minister decision, who determined the geothermal electricity price to be 9.7 US cents/kWh.

Surya said he deemed the price to be attractive enough.”

Source: tempo interaktif