EMIS Emerging Market Information Service Indonesia Power Sector | Page 5

Infrastructure The government is trying to encourage the development of the infrastructure as a whole. The president of the country, for example, has put the development in this field as a priority. His plan includes the development of facilities necessary for energy processing (such as oil refineries), improvement of the electricity grid and development of electricity from renewable sources. Indonesia has 7 corridors for distribution of electricity. This are Sumatera, Jamali, Kalimantan, Sulawesi, Nusa Tenggara, Maluku and Papua. Until 1st Semester 2012, the installed capacity of electricity amounted to 41,098 MW, , transmission line - 37,301 kms, and distribution line - 679,424 kms. Distribution Until 2002 the state company Perusahaan Listrik Negara (PLN) had monopoly over the distribution and transmission of electricity in the country. Currently both local and foreign companies are permitted to distribute electricity. But all companies will need to use PLN's existing transmission network. Issues For years Indonesia (the fourth country in the world by population) has been struggling with energy shortage. Even the big cities, like the capital Jakarta, are often affected by blackou