Dutch investors interested in geothermal project in West Java
A number of Dutch investors are interested in investing in a geothermal project in Garut, West Java, particularly the Mount Panadayan resources. The US$ 17 million investment would be able to start this project of a minimum of 330 megawatt of electricity in this region.
Reported recently by Tempo Interactive, “A number of Dutch investors are interested in investing in a geothermal project in Garut, West Java. The Rp 170 billion (US$ 17 million) investment would be able to produce a minimum of 330 megawatt of electricity for the areas of Papandayan, Arinem and the Masigit mountains. “The initial investment will be disbursed next month,” said Garut Natural Resources and Mining Office chief Widiyana, yesterday.
Widiyana said the agreement was reached when Garut regent Aceng H.M. Firi went to The Hague on May 24. Around 100 European investors were present at the meeting, which was also attended by Widiyana as well as the regents of Kuningan and Bogor.
According to Widiyana, the West Java government introduced prospects of geothermal power plants at the meeting. Shares will be auctioned in 2009/2010 including the 160 megawatt geothermal power located at Mount Papandayan. “Particularly for Papandayan, the Netherlands is interested in investing Rp 170 billion for the first phase,” he said.
The next phase would be investment on Mount Masigit(100 megawatt) and Mount Arinem(70 megawatt). Other sites offered are Mount Pangrango(150 megawatt) and Mount Ciremai (50 megawatt).
Garut has a capacity of 1.227 electric megawatt (MWe) of geothermal energy. Yet, only 455 Mwe has so far been utilized, leaving 772 Mwe idle. Out of the 455 Mwe capacity, 224 Mwe is exploited in Pasirwangi sub district, while 200 MWe is being utilized in Kamojang geothermal power plant.
At least two countries have expressed interest in investing in the area: Belgium, in developing chocolate and sugar cane products and France, in developing aromatic roots. Aceng is hopeful that such investment can boost economic growth for the people besides adding to the region’s revenues. “Even though Garut is a geothermal and plantation producer, we have not benefited from this investment,” he said.”