PLN Faces Another Coal Supply Crisis

Summary

PT Perusahaan Listrik Negara (PLN) is struggling to get coal supplies for its coal-fired power plants (PLTU) again. Coal companies prefer to export their products rather than supply domestic needs since global coal prices have reached up to US$400 per ton. PLN Batubara EVP Sapto Aji Nugroho suggested small fines or compensations stated in the Energy and Mineral Resources (ESDM) Ministerial Decree Number 13.k/HK.021/MEM.B/2022 made suppliers choose to ignore PLN.

"Minning companies that have signed contracts with PLN and those with expiring contracts, none of them wants to extend the contract. Miners who have signed contracts with PLN also don't want it. PLN is currently able to maintain the coal supply using an emergency exit, namely an assignment from the director general of mineral and coal of the ESDM Ministry, but only temporarily," Sapto said on Tuesday.

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