The State Electronic Company PT PLN (persero) was engaged with PT semen Dwima Agung cement factory (SDA) to provide power high voltage 150 KV to SDA cement factory located in the village of Merkawang, District of Tambak Boyo, Tuban, East Java. The agreement of power transmission was signed by the Director of Business and Risk Management if PLN Murtaqi Syamsudin and the Director of Operational Java Bali PLN Ngurah Adnayana and President Director of PT SDA Unggul Rahardjo Junus O, Hutapea (one of SDA directors).
By the agreement PLN would transmit electricity of 40 Mega volt ampere (MVA) to the new SDA cement factory with premium service above the standard service. The special service included among others certainty of continuous power supply and special network configuration which guaranteed quality of power supply.
“The agreement indicated that businesspeople have high confidence in PLN capability to channel out power for factory operations at high degree of quality as expected” the was disclosed by Murtaqi Syamsuddin. PLN showed their commitment to serve as propeller of economic growth through fulfillment of electricity need for the industry.
The power needed by SDA would be in early 2013 and PLN was optimistic to able to channel out power by Quarter IV 2012. Selling price of electricity was agreed at Rp 810/Kwh based on single tariff where selling price during Peak Time (WBP) was the same as selling price during off-peak time (LWBP).
Premium Service was a form of service rendered by PLN including good quality, guarantee and endurance and certainty of connection inaccordance with the agreed Service level Agreement (SLA) agreed between PLN and customers. In case of power blackout at SDA on account of PLN’s failure, PLN was obliged to pay compensation to PT SDA. Hence to ensure transmission of power to SDA factory which was based on special service, PLN planned to expand installation including periodic maintenance of the main network system and supporting facilities.
The trade agreement between PLN and PT SDA would be valid for ten years and extendable. This premium service proved that through business-to-business scheme, actually PLN had the capability to transmit power of high quality including guarantee of service as expected by major customers.
PT SDA is subsidiary company of PT Holcim specializing cement production. By estimate this factory would have definite production capacity up to 1.7 million ton per annum. This factory is build at the expense of USD 450 million which at construction phase alone was able to accommodate 3,000 workers, and at operational stage might employ around 200 workers. The target market is domestic market.
Technically, soon power transmission of power to PT SDA would be operated by East Java Distribution System of PLN which today serve 18 customers of 150 KV with total capacity of 659 MVA. Beside PT SDA, the East Java PLN also serve 2 high voltage clients based on premium service.