East Java In Oil Gas And Electricity Crisis


(MENAFNEditorial)

SURABAYA March 23 2015— East Java is feared to be in the condition of oil gas and electricity crisis before 2025 if the central government continues to complicate the fund disbursement to explore the untapped energy basins in the province.

Assistant II for economic and Development Department of East Java Province Regional Secretary Hadi Prasetyo said the province actually still has a lot of energy potency. However the exploration is hampered by ‘budget politic’.

For example East Java has been the electricity supplier for the entire province in Java and Bali. Currently the rest of the peak load in Central Java is about 1 200 megawatt (MW) which source is still depending on fossil energy.

Due to the responsibility of East Java which has to cover Java and Bali the electrification ratio of East Java is only about 82%. There are about 30 villages which have not had electricity while PT PLN (Persero) East Java Distribution cannot fulfill the need.

“Dividend should be paid by to the country is too high. In 2013 they asked the Provincial Government of East Java to allocates the regional budget worth IDR150 billion to help them provides electricity to the rural area in East Java” he said Friday (3/20/2015).

Even though the Province claimed to be willing to help PLN the effort was hampered by the regulation which prohibits the Regional Budget to be granted to State Owned Company. “Based in the regulation the Regional Budget can only be allocated to the Regional Owned Enterprises asset” he explained.

Hadi expressed similar thing also hampered the geothermal exploration in East Java. In fact according to him the geothermal potency in East Java is quite big. However the fund disbursement from the country to work on the exploration is complicated.

Based on the record by the province geothermal potency at the area reaches about 1346.8 MWA. Read more..

 


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