A consortium led by ABB, the global power and technology company, has signed a contract worth about €71 million ($65m) with the Indonesian state electricity supplier PT-PLN (Persero) to build a 309-km power line on the main island of Java.
ABB’s portion of the contract is worth about €35m. The line is part of the extension of the 500 kV ultra-high voltage grid linking new power plants in eastern Java to the cities of Jakarta, Bandung and Yogyakarta.
ABB will lead a group of consortium partners and subcontractors, and provide engineering, design, project management, supply management and logistics for a project that will involve 4000 workers in more than 750 construction sites.
“This transmission link is critical to the continued development of Indonesia’s power sector as it will increase the physical capacity, efficiency and reliability of Java’s transmission system,” said Richard Siudek, executive vice president and head of ABB’s utilities division. “ABB brings the skills and local know-how required for fast track delivery of such a large and geographically challenging project.”
The order is scheduled for completion within 24 months and includes 750 towers weighing roughly 26 000 tons, 7500 kilometers of conductors, 380 000 insulators and a ground wire with integral optical fibers for telecommunications transmission. 70 per cent of the power line will be installed over rice paddies, which will require a special foundation system ABB has designed for soft soil conditions.
The Japan Bank of International Cooperation (JBIC) is financing the project. The Japanese engineering consultant NEWJEC INC. will assist in supervising the project.
Separately, ABB announced the appointment of Peter Voser as chief financial officer. Voser, a 43-year-old Swiss national, was CFO of Shell Worldwide Oil Products and succeeds Renato Fassbind, ABB’s first designated finance officer, who has joined Diethelm Keller, a private Swiss trading company.
The appointment comes a month after Jürgen Dormann took over as non-executive chairman at ABB, following the surprise departure of Percy Barnevik, who created ABB through the 1987 merger of Sweden’s Asea and Switzerland’s Brown Boveri.