Energising Indonesia

Just off the coast of Singapore, only 20 kilometres to the south, lies the Indonesian island of Batam. Here Indonesia has developed a burgeoning free trade zone and a plentiful and reliable supply of electricity is essential to its continuing success.

The growth of Batam has been extraordinary, from an island with a population of 6,000 just over 30 years ago, it now has 720,000 inhabitants. It is now responsible for seven per cent of Indonesia’s total exports and is the highest growth area of the country outside the capital of Jakarta.

Batam island itself is 1.25 times the size of Singapore and is linked to two other islands, Rempang and Galang. The total area is 715 sq kilometres with the main islands linked by the trans-Barelang road and a series of six stunning bridge connections.

The initial electricity supply was produced by diesel power but the success of Batam has meant that the demand for electricity has grown substantially and the need for the supply to be steady and reliable is critical.

Batam was in the fortunate position of being able to benefit from an existing 22-kilometre gas pipeline that runs from the Indonesian island of Sumatra to Singapore. A spur was inserted in the main pipeline in order to supply Batam and the possibility of using gas as an energy source became a reality for the island.

The island was also keen to have a more diverse power supply and not be solely dependent on diesel. Therefore, in the 2000 timeframe, an initial competitive bid was tabled for a gas-powered station to be developed. This was Panaran 1, comprising two Rolls-Royce 27.5MW RB211s, which was incorporated on 30 October 2004. Panaran 2, also consisting of two RB211s, soon followed and started operating in March 2005.

As far as Rolls-Royce is concerned, the Panaran power station is now the only one of its kind in Asia, having four RB211s operating in-line, providing base power. Panaran now produces over 70 per cent of the total electricity demand on Batam island.

The station was built close to the coast, near the landing site of the gas pipeline to the island and so the whole station is a compact facility with the gas supply and power plant all managed in the same vicinity.