Kuala Tanjung Inalum captive power station

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Kuala Tanjung Inalum captive power station is a proposed 600-megawatt (MW) coal-fired station in North Sumatra Province, Indonesia. The plant is also known as Sumut-2. The plant would power the Inalum aluminum refinery.

Location

The map below shows the location of the Inalum aluminum refinery at Kuala Tanjung (Kuala Cape), Sei Suka District, Batubara Regency, North Sumatra Province.[1] The coal power plant would be located on an 80-ha site adjacent to the refinery.

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Background on Plant

Indonesia Asahan Aluminium (Inalum), a state-owned aluminum producer, announced plans in January 2014 to build a three-unit, 600-MW, $2 billion coal-fired power plant adjacent to its aluminum factory in North Sumatra Province.[2] A deep-sea port was recently constructed at the site, where several other industrial facilities are located.[3]

In November 2014, Inalum upped the proposed size of the plant to three 350-MW units, or 1,050 MW in total. Inalum is conducted a feasibility study together with PT Butik Asam (PBTA), having brought PBTA into the project; PTBA would supply coal to the project, while Inalum would be majority owner and would focus on that power plant's operations. The aluminum refinery would use 700 MW, and the remaining 350 MW would be sold to surrounding cities. The company hopes to tender construction of the power plant in Q2 2015, and to bring it into operation by 2020.[4] Coal for the plant will come from either South Sumatra or Riau, depending on the quality level of coal that Inalum decides to engineer the plant for.[5]

In November 2014, the Jakarta Post reported that the company planned to speed up the onset of construction from mid-2015 to early 2015.[6]

In April 2015, construction appeared imminent as hiring ads appeared for construction managers.[7]

However, in August 2016 Inalum said that construction had been delayed from 2016 to 2017. The plant size was described as 2 x 350 MW, suggesting plans for the third 350 MW unit has been deferred or abandoned. The company said it was also exploring the possibility of moving the plant to the province of North Kalimantan, to save on electricity costs.[8]

In September 2017 Inalum announced that it was still looking for partners with whom to build the plant.[9] In September 2018 it was reported that PT Bukit Asam Tbk (PTBA) planed on partnering with Inalum to build Units 1 and 2.[10] As of December 2018 there had been no further news about Unit 3 and it appears to have been cancelled.

RUPTL Plans for Sumut-2

In the 2015-2024 PLN long-range supply plan, Sumut-2 power station is proposed for 2023/2024.[11] In the 2017-2026 long-range plan it is scheduled for 2021/2022 and is described as an independent power project (IPP).[12] In the 2018-2027 long-range plan both units are scheduled for 2021.[13] In the 2019-2028 long-range plan the units are scheduled for 2023 and 2024.[14]

Project Details

  • Sponsor: Indonesia Asahan Aluminium (Inalum) and PT Butik Asam (PBTA)
  • Location: Kuala Tanjung (Kuala Cape), Sei Suka District, Batubara Regency, North Sumatra Province, Indonesia
  • Coordinates: 3.3506353, 99.4513321 (exact location of aluminum facility)
  • Status: Units 1 & 2 Permitted; Unit 3 Cancelled
  • Gross Capacity: 600 MW (Units 1-2: 300 MW)
  • Type: Subcritical
  • Start date: 2023 & 2024
  • Coal Type:
  • Coal Source: South Sumatra or Riau[5]
  • Source of financing:

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