PLN Workers Union Rejects Generation Privatization

By : Hariyanto And Aldo Bella Putra | Friday, October 06 2017 - 21:30 IWST

Pembangkit Listrik di Indonesia
Pembangkit Listrik di Indonesia

INDUSTRY.co.id - Jakarta - The State-Owned Enterprise (PLN) Union publicly declared its rejection of the privatization option of the plant as a way out of estimates of the possibility that the BUMN Electricity failed to pay to meet its debt obligations.

"We firmly refuse to submit assets to the private sector which is an important production branch for the state and controlling the livelihood of the people constitutes a violation of the Constitution of the 1945 Constitution article 33 paragraph," said Chairman of PL PLN Jumadis Abda in a written statement in Jakarta on Thursday (5 / 10/2017)

The affirmation was related to the leaking of Minister of Finance Sri Mulyani Indrawati's letter to the Minister of Energy and Mineral Resources and the Minister of State-Owned Enterprises regarding PLN's worrying financial condition was included in the ability to repay debt.

To address the issue, in the letter, Finance Minister Sri Mulyani asked the Ministry of Energy and Mineral Resources and the Ministry of State-Owned Enterprises to lower the cost of electricity production, especially on the primary energy side, and evaluate the construction of a generous and excessive 35,000 MW generator program.

According to Jumadis, for the cost of building the power plant with funding from the debt, either by PLN itself or by the private sector will surely increase the burden for PLN.

"If the private company built the power plant, PLN is obliged to take or pay the electricity production, then PLN must pay 80 percent capacity factor," he said.

News Comment

Today's Industry

Alvara Research

Sabtu, 26 November 2022 - 06:20 WIB

Turnover Rises High, Culinary MSMEs No Problem Paying OFD Platform Commissions

Online food delivery (OFD) services have accelerated the growth of food and beverage (F&B) MSMEs in Indonesia by 1.9 times faster compared to offline sales. OFD platforms enable MSMEs to have…

KB Bukopin Building. (Photo: Kompas.com)

Kamis, 24 November 2022 - 20:43 WIB

Shares Price Falling, Deficit IDR 6.99 Trillion, KB Bukopin Investors Not to Expect Dividends

The shareholders hope of issuers listed on the Indonesia Stock Exchange is of course to produce investment results in the form of capital gains and dividends obtained from the positive performance…

A Health exhibition of Banten Province on November 3-5, 2022 at ICE BSD, South Tangerang, Banten. (Photo: Banten Province PR)

Jumat, 18 November 2022 - 16:14 WIB

Premier Bintaro Hospital Assigned as Banten Medical Tourism Hospital

Banten Province hosted the 58th National Health Day by holding a health exhibition on November 3-5, 2022 at the Indonesia Convention Exhibition (ICE) BSD, South Tangerang, Banten.

GoTo is a blend of Gojek and Tokopedia. (Photo: republika.co.id)

Jumat, 18 November 2022 - 15:31 WIB

Employee Efficiency Considered Realistic for GOTO Growing Healthier

The dynamic and challenging economic situation has prompted many world-class companies to redesign their business strategies. Various ways are taken, such as efficiency and cost optimization,…

Rully Prayoga (dressed in white), the Campaign Manager of World Animal Protection (WAP) Indonesia, is giving a press statement. (Photo: Bang Abe)

Senin, 14 November 2022 - 00:00 WIB

Global Fast Food Restaurants in Indonesia Expected to Guarantee Product Quality

Once a friend opened a conversation by asking why the bodies of wild rats now are so big compared to before, they are not as big as now.