Jakarta, 12 March 2015 – MAXpower Group (“MAXpower” or “the Group”), Southeast Asia’s leading gas-to-power specialist, through its independent power producer business, PT MAXpower Indonesia, has won two competitive tenders to supply 40MW of total capacity to PT PLN (Persero) (“PLN”), the Indonesian government-owned electricity utility, under 80% take-or-pay agreements. Both projects are expected to be completed in mid-2015, and will increase the total capacity of MAXpower’s fleet by more than 10%.
MAXpower will develop a 30MW gas-fired power plant in New Tarahan in the Lampung region, Sumatra, to support the rapid industrial growth in the region. The project, comprised of eleven highly efficient 620 GE Jenbacher engines, is expected to be completed in approximately 90 days, breaking development time records for a project of this size.
The second project, located at Tarakan, East Kalimantan, will utilise three 620 GE Jenbacher engines to generate a capacity of 9MW, and is expected to be completed in 70 days. It will bring urgently needed power to this remote area that has historically relied on diesel and oil to fuel power generation. This is MAXpower’s second power project with PLN on Tarakan Island underscoring its growing relationship with the national grid in the area.
Arno Hendriks, CEO of MAXpower, said: “The government has recently implemented new targets to increase gas-fired power production by 11,000MW in the next four years to meet the fast growing local demand for electricity, but also as an affordable and low emission solution to replace Indonesia’s old fleet of diesel-powered generators. This is creating outstanding opportunities for MAXpower’s fast, affordable and scalable technology, and we are seeing significant growth in our development pipeline, which currently stands at 177MW of projects under construction or contract.
“As the largest distributor of GE Jenbacher engines in Asia, we have access to an unrivalled inventory of gas engines. This, combined with our state-of-the-art modular technology, has enabled us to reduce our construction times to new industry records, an achievement which I am particularly proud of.”