The PLTG will be built in the integrated industrial area covering 770 hectares in the Pakuhaji district, Tangerang subdistrict, Banten.
"A feasibility study will be conducted by the company-appointed Australia Indonesia Business Council (AIBC)," President Director of Banten Global Development (BGD) Sudibyo said after signing a memorandum of understanding with the AIBC here on Monday.
The BGD will consult with PricewaterhouseCoopers (PwC) for the purpose of the feasibility study, which will include commercial and legal aspects of the project development.
"There will be a formal meeting to discuss what we need," he added.
Explaining that the power plant would support the development of the area, Sudibyo affirmed, "The project will be realized soon."
He pointed out that the ownership of the project would rest with the BGD while the AIBC would coordinate with Australias private investing companies.
"The investors will be awarded a land and building title (HGB) for 40 years," he added.
The BKPMs deputy investment control, Azhar Lubis, expected that the MoU would lead to an increased investment inflow from Australia.
Since 2010, investment worth US$ 2.1 billion could be realized from Australia, accounting for 1.4 percent of the total foreign investment. Most of it was in the mining and husbandry sectors.
The neighboring country was ranked as the 12th largest investor in Indonesia.
"We are ready to facilitate Australian investors," he remarked.(*)
Editor: Heru Purwanto
Copyright © ANTARA 2016
