Indonesia's state-owned electricity company PLN has axed a project to develop a coal-fired power plant as the country chases its long-delayed commitments to cut carbon dioxide emissions.
Jakarta (VNA) – Indonesia's state-owned electricity company PLN has axed a project to develop a coal-fired power plant as the country chases its long-delayed commitments to cut carbon dioxide emissions.
PLN vice president of corporate communications Gregorius Adi Trianto confirmed that the company had canceled its plan to build the 1-gigawatt (GW) plant in Indramayu, West Java.
It proactively stopped borrowing funds for the project as part of PLN's efforts to reach the country’s carbon neutral goal by 2060, Gregorius was quoted by local media as saying.
The project’s termination came after Japan announced that it had canceled a plan to provide a loan worth 1.7 billion (12.55 million USD) for developing the Indramayu plant amid growing international criticism of coal power plants, a major source of greenhouse gas emissions.
According to Indonesia’s Ministry of Energy and Mineral Resources, total investment in the power sector reached 700 million USD in the first quarter of 2022, down 63% compared to the target of 1.89 billion USD set by the Indonesian Government amid the shrunken revenue of PLN that has limited the firm’s investment capacity./.
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