"We are now deliberating the tariff cut which could reach up to 20 percent."Jakarta (ANTARA News) - State-owned electricity company PLN is planning to provide a rate cut by about 20 percent for industry customers operating between 11 pm and 7 am, its president director said.
PLN President Director Dahlan Iskan said in a press statement here on Sunday that if industry customers usually paid an average of Rp730 per Kwh, they would only pay about Rp550 per Kwh during their operations between 11 pm and 7 am.
"We are now deliberating the tariff cut which could reach up to 20 percent," the PLN president director said.
He said that industries were expected to increase efficiency by shifting their working hours to the night time. "This will also provide a chance for workers to earn additional income because working at night they should be paid with additional pay," he said.
Dahlan said that the rate cut scheme was being considered in an effort to anticipate PLN`s plan to reduce its fuel oil operational cost during the peak load hours between 5 pm and 10 pm.
At present, PLN has to produce about 5,000 MW of electricity above the normal level during the peak load hours. As a result, PLN has to consume more fuel for its gas power plants (PLTGU).
But so far, a number of PLTGUs with a combined need for gas of 1,000 million metric standard cubic feet per day (MMSCFD) were lacking gas supplies.
As a result of increased gas consumption, PLN was force to increase its production cost to Rp60 trillion per annum.
"We hope that industries would reduce using electricity during the peak load hours. If need be, they should stop their activities and shift their work to the night time," he said.
At present, PLN`s need for electricity supplies for its Java-Bali distribution networks during the peak burden have reached 18,365 MW, or 1,000 MW more than that last year which was 17,365 MW.
(Uu.A014/P003)
Editor: Priyambodo RH
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