Roundup: Indonesia goes ahead developing mega coal-fired power plant project despite emission concerns

Indonesia planned to commence the mega coal-fired power plant project in Batang, Central Java province with a capacity of 2,000 Mega Watt (MW) despite calls from environmentalists to reconsider the project as it was assessed of contradicted with the nation's target to reduce carbon emission.

Confirmation on the planned commencement of the Japan-funded project was conveyed by Coordinating Minister for Maritime Affairs Indroyono Susilo as he claimed that government has settled compensation problem that has halted the project for years.

Inauguration of Batang power plant project's groundbreaking was scheduled for next month, to be conducted by President Joko Widodo.

"The project was cleared to commence after it obtained a legal opinion issued by the attorney general," the minister said in his office on Tuesday, adding that the legal opinion protects the project to commence.

The embattled project was delayed since 2011 due to massive opposition from locals residing around the project site due to compensation issue and the fear that operation of the major coal- fired power plant would damage the environment where they earn their living.

The Batang mega power plant project was designed to supply more electricity in three Indonesia's densely-populated islands of Java, Bali and Madura that host most of the nation's manufacturing plants.

Due to the obstacles, operation of the project was rescheduled to 2018 from the initial scheduled set in 2014.

Batang coal-fired power plant project would be carried out by Bhimasena Power Indonesia consortium, joined by Indonesia coal producer of Adaro Energy that controls 34 percent of share with the remaining partners being Japanese investors of J Power and Itochu, which have 34 and 32 percent of shares in the project respectively.

Environmentalist organization Greenpeace said that emission from Batang power plant project would potentially worsen the impact of climate change, and its pollution would endanger the health of people residing around the project site.

Greenpeace said that the project would emit 10.8 million tons of carbon emission, to produce 200 kilograms of mercury waste per year respectively.

"It's about the time now for President Joko Widodo to lead energy revolution in the world by taking sustainable environmental- friendly technologies available in the country rather than picking coal technology that apparently has contributed the most to climate change," Arif Fiyanto, Greenpeace Indonesia Energy and Climate Change Campaigner said in a statement on Tuesday.

He added that Indonesia now has many options to develop its power plants by applying renewable and sustainable technologies as the nation has abundant resources of geothermal, wind, micro hydro and solar energy.

Earlier this month President Widodo inaugurated the commencement of power plant projects with total capacity of 35,000 MW within the next five years. Constriction of new power plants was aimed to comply with domestic rapid growing power needs.

"This mega power plant program is achievable as it would be supported by detailed and well-planned programs, facilitated by simplified regulation," President Widodo said in his remarks to commence the project in Yogyakarta in May 4.

Indonesia's total power supply capacity now stands at 53,585 MW, with power need growth was recorded at an average of 9 percent per year. The current government has set electrification ratio to 96 percent across the nation by 2019. The nation saw 84.95 percent of the ratio accomplished last year. Endi