Puneet Varma (Editor)

Paiton Power Station

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Primary fuel
  
Coal

Make and model
  
GE, Siemens, MHI

Annual gross output
  
57,000 GWh

Combined cycle?
  
Yes

Nameplate capacity
  
4,040 MW

Operator
  
Perusahaan Listrik Negara

Paiton Power Station iimgurcomb0SALjpg

Units operational
  
2 x 400 MW, 2 x 610 MW, 2 x 615 MW, 2 x 800 MW

Similar
  
Suralaya Power Station, Saguling Dam, Kamojang, Jabung, Bentar Beach

Paiton power station probolinggo east java indonesia


Paiton Power Station is a large thermal power station located around 35 km to the east of the town of Probolinggo in East Java in Indonesia, about half way between Probolinggo and Situbondo. The extensive complex has a maximum generating capacity of around 4,000 megawatts.

Contents

History of the plant

The history of the construction of the complex, along with the financial arrangements, involved considerable controversy in the wake of the 1997-98 financial crisis in Indonesia.

The firm decision to begin construction of the power complex was taken in April 1994 after negotiations which had commenced some years earlier. The construction of the Paiton complex was seen as important because it was part of an ambitious program announced in the mid 1990s in Indonesia to construct 27 power plants in cooperation with the private sector through IPP (Independent Power Producer) arrangements. But following the 1997-98 financial crisis in Indonesia, the IPP arrangements were widely regarded in Indonesia as inappropriate contracts which, as a result of faulty contract negotiations, had passed an excessive allocation of financial risk onto the Indonesian state.

According to the original contract signed between the Indonesian state-owned electric power company Perusahaan Listrik Negara (PLN) and PT Paiton, PLN was to pay PT Paiton a price of slightly over US 8 cents/kWh during the first 12 years of operation of the plant. However, following the dramatic plunge in the value of the rupiah during the 1997-98 crisis, PLN's financial situation deteriorated sharply (because many of the costs of the PLN were in $US while revenues were in rupiahs). In 1999, the PLN therefore moved to demand that the contract be renegotiated. After difficult negotiations, agreement was reached in mid-2002 for the PLN to pay PT Paiton a reduced price of slightly less than US 5 cents/kWh for part of the output from the Paiton complex.

More recently, the capacity of the plants at the site has been extended. In 2004 it was announced by one of the firms operating at the complex, PT Paiton Energy, that an additional 800 MW (expected to cost around $US 850 million) would be added to the 1,290 MW capacity that the firm operated at the site. In mid 2012, PT Paiton Energy (a joint venture between French and Japanese companies) launched the commercial operation of the unit (rated at 815 MW) at the complex, adding around 5% to the capacity of the Java-Bali power grid.

Ownership arrangements

The Paiton power generation complex is made up of a number of power generation units under different ownership. Details are as follows:

Flue Gas Treatment

Paiton I and II both incorporate saltwater Flue Gas Desulphurisation scrubbers.

References

Paiton Power Station Wikipedia