Government to re-bid Mount Lawu geothermal working area, Indonesia

Government to re-bid Mount Lawu geothermal working area, Indonesia

The government is planning to re-tender the geothermal working area of Mount
Gunung Lawu in Karanganyar in Indonesia - after Pertamina Geothermal Energy
has not commenced work on the project and returned the area to the
government.

Reported earlier this month, the Indonesian Ministry of Energy and Mineral
Resources (ESDM) is expected to re-bid the geothermal exploration project on
Mount Lawu, Karanganyar in Indonesia.

Despite the opposition of the local community, the project is expected to go
ahead.

This was revealed by the Minister of Energy and Mineral Resources (ESDM)
Ignasius Jonan after giving a public lecture to the students at the
University of Muhammadiyah Surakarta (UMS), earlier this month.

The public lecture with the theme of Independence and National Energy
Sustainability was attended by UMS Rector Sofyan Anif and hundreds of
students and lecturers. According to Jonan, the geothermal development
project at Gunung Lawu needs to be set up for tender again, as the company
that previously won the the bid has not been able to commence work on the
project.

"The company either because of financial factors or lack of technical
ability has stopped and returned [the working area] to the government," he
said.

For that, continued Jonan, the government has two options, the re-tendering
[of the working area] or let the project be developed by PT PLN. Answering
questions on the local opposition of the community in Karanganyar over the
planned geothermal project development in Mount Lawu, Jonan said more
efforts need to be made to gain local support.

"Be socialized to the community about the impacts and benefits of geothermal
development," he said.

As reported, the tender for the geothermal exploration project in Gunung
Lawu was won by PT Pertamina Geothermal Energy (PGE). Originally, the
project's work began in 2017. The Working Area of Mount Lawu has an
estimated power generation capacity potential of 165 MW.

The project has been seen critical by the local population because of fears
for the water supply, religious and Gunung Lawu culture.

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Link to Original Article:
http://www.thinkgeoenergy.com/government-to-re-bid-mount-lawu-geothermal-wor
king-area-indonesia/

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John Diecker
APT Consulting Group Co., Ltd.

www.aptthailand.com