PLN issues Invitation to Bid for Geothermal Working Areas in Indonesia

Halmahera Tengah, Maluku Utara, Indonesia (source: flickr/ Achmad Rabin Taim)

Indonesia’s state-owned electricity company PT PLN (Persero) has issued an invitation to bid for the development of four PLN Geothermal Working Areas. This follows up on an earlier announcement by PLN seeking for strategic partnerships for geothermal development in Indonesia.

This invitation is open to all interested parties including local or foreign companies, consortiums, and business entities. The four areas being offered for the International Competitive Bidding are as follows:

• Tulehu (20 MW) – Central Maluku, Maluku Province
• Atadei (10 MW) – Lembata, East Nusa Tenggara Province
• Songa Wayaua (10 MW) – South Halmahera, North Maluku Province
• Tangkuban Parahu (20 MW) – Subang, Bandung, Purwakarta, West Java Province

All participants may bid on any or all of the Geothermal Working Areas. The bidding process will be implemented in two stages. Proposals shall be submitted no later than 4 July 2023, 14:00H West Indonesia Time. There shall be a pre-bid meeting with schedule to be announced later.

Request for Proposal (RFP)

Before registering for the RFP, the Participant shall pay a non-refundable amount of IDR 277,500,000 (including VAT) for each PLN Geothermal Working Area. This will be done by bank transfer to the following account:

• Name of Bank Account Holder: PT PLN (Persero)
• Bank Name: PT Bank Negara Indonesia (Persero) Tbk
• Bank Account Number:

To register and collect the RFP documents, the Participant must submit the following documents to todivppi.geothermal@pln.co.id with Cc: tri.jati@pln.co.id, zul.efendi@pln.co.id with subject “Geothermal Working Area in [insert location]”

• Copy of Tax Identification Number (Nomor Pokok Wajib Pajak – NPWP), for Indonesian participants.
• A duly signed and seal over Rp10,000 Indonesian stamp duty Statement of Confidentiality letter by the authorized person. The draft can be downloaded at the link: https://tinyurl.com/Letterconfidentiality
• Copy of bank transfer slip for the RFP.

After PLN has confirmed the registration and RFP payment, the Participant will receive a soft copy of the RFP in the period starting from 3 May 2023 until one day before the bid submission date.

Scope of work

The selected partner(s) through project company shall sign the Geothermal Exploration and Energy Conversion Agreement (GEECA) with PLN to carry out all the works regarding the PLN Geothermal Working Areas. These include exploration activities, feasibility studies, construction of plant, conversion of steam, operations, and maintenance of upstream and downstream assets.

The exploration activity will be carried out by the selected partner(s). Upon successful exploration of geothermal resources and assessment of economic viability, the project will be carried out by the selected partner(s) with PLN Subsidiary involvement. The selected partner(s) and PLN Subsidiary will design, engineer, finance, construct, test, commission, own, operate, maintain, and transfer to PLN the Geothermal Steam Field Facility and Power Plant.

More details will be provided in the RFP.

Source: Email correspondence