Indonesia - The Power Sector.
Indonesia's power sector faces shortages due to under-investment in new generating capacity. The current capacity remains less than 53GW. The biggest producer is PT PLN (Persero), formerly known as Perusahaan Listrik Negara (PLN). But the utility is still known as PLN. PLN operates roughly two-thirds of the country's generating capacity. Most of Indonesia's power generating capacity is thermal (oil, gas, and coal), and 10.5% is hydro-power. Before the Asian financial crisis, Indonesia had plans for a rapid expansion of power generation, based mainly on opening up the power market to IPPs.
The crisis led to severe strains on PLN, which made it difficult for the firm to pay for all the power it was committed to buy from the IPPs (see down10IndnsEnrBasMar5-07).