Textile Factories Relocation Hampered

Rabu, 25 September 2013 | 13:55

Plans for the relocation and development of the textile industry and textile products (TPT) from Greater Jakarta to Central Java might be cancelled following the alleged lack of available power supply in the province.Chairman of the Indonesian Textile Association (API) Ade Sudrajat Usman urged PT Perusahaan Listrik Negara Central Java to provide immediate support for the certainty of electricity supply for production.
This is because the PLN Central Java recorded that electricity demands for the industry increases 8% -10% per year, while the availability of supply has stagnated since 2009. Currently, Java subsystem peak load reached 3,123 MW per month, even briefly exceeded 3,300 MW in the last Eid.
According to him, if there is no commitment from PLN to supply electricity for the industry, there is no alternative other than looking for new locations both at home and abroad.
Ade said the employers are objected to use the alternative energy than electricity because it is expensive and burdening the operating costs.
"If there is no guarantee of electricity availability, the industry will not invest here [Central Java] and we will find other place [other countries]," he said on Tuesday (9/24).
Since the beginning of the year, there was a relocation plan of about 60 textile companies in Central Java to a number of areas such as Semarang regency, Kendal, and Boyolali since the labor costs are much lower.
Related with the power readiness, API urged PLN central Java to give a certainty on the development of inter bus transformer (IBT) within the next three months at the latest to support the availability of electricity.
Well Response
Ngurah Adnyana, Director of Operations for PLN Java-Bali-Sumatra, said PLN welcomed the relocation plan of the textile and garment industry from West Java to Central Java. It will reduce the PLN cost to supply electricity to West Java.
"So far, Central Java and East Java supply electricity to West Java. So it's good they want to be relocated to Central Java because the electricity burden will be lower," he said in Jakarta, Tuesday (9/24).
He said the Central Java and East Java supply electricity reaching 2,500 MW to meet the demand in West Java. Electricity demand in Central Java alone has reached about 4,000 MW.
From the total of 21,968 MW of electrical load in Java-Bali, approximately 61% or 13,338 MW electricity load is located on western region, while 39% load or about 8,630 MW is in the eastern. (Amri Nur Rahmat/ Riendy Astria/t07/msw)

by Pamuji T. Nastiti, Lili Sunardi, Aprianto Cahyo Nugroho
source http://en.bisnis.com