Tuban, East Java (ANTARA) – Indonesia said supply constraints for medium-rank coal used in coal-fired power plants have been fully resolved, Energy and Mineral Resources Minister Bahlil Lahadalia said, signaling stabilization in national electricity fuel supply chain.
“Now all coal is in progress, no more problems,” he said after inaugurating PT Sumber Aneka Gas mini LNG plant in Tuban, East Java, on Thursday, underscoring government push for downstream energy infrastructure.
Constraints relate to medium-rank coal around 5,200 kilocalories per kilogram GAR required by state utility PLN for coal-fired power plants to maintain stable baseload electricity generation nationwide.
These constraints previously caused electricity service disruptions in several regions, prompting concerns over reliability of supply and prompting closer coordination between miners, traders and state utility PLN.
Earlier, Bahlil formed a special task force overseeing PLN coal procurement to prevent future supply disruptions that could threaten national energy security and stability of power system operations.
He said PLN has faced coal supply constraints before, including in 2022 energy crisis episodes, underscoring need for tighter oversight and stronger coordination to avoid recurrence of shortages.
Bahlil also opened possibility of revising coal prices for PLN amid rising production costs faced by suppliers and ongoing difficulties maintaining medium-calorie coal supply consistency in domestic market.
Adjustment relates to Domestic Market Obligation policy, where coal price for PLN is currently capped at US$70 per ton, a long-standing benchmark supporting electricity affordability.
PLN President Director Darmawan Prasodjo said supply and distribution of coal meeting required specifications for coal-fired power plants has been running smoothly in recent weeks across Java and Sumatra systems.
“The supply of primary energy coal meeting specifications required by power plants is running smoothly,” he confirmed on Monday, adding that monitoring systems indicate stable logistics flows nationwide.
Therefore, efforts to improve Java electricity system are proceeding smoothly and gradually improving as operational coordination between generators and grid operators continues to strengthen further.
Going forward, his party vows to improve coal supply chain governance and strengthen power plants to ensure reliability and continuous improvement of the Java electricity system, system resilience overall nationwide.