Electrical Power Transmission Project Must Involve Local Industry: VP

Jakarta (Antara Bali) - Vice President Jusuf Kalla has ordered his ranks and files to involve the domestic industry in the construction of 46,000 kilometers of electrical power transmission in the country.

"If necessary, the project should entirely use domestic components. PLN (state electricity company) must prepare all the materials from the domestic industry. No single materials will come from abroad," he said after chairing a limited meeting at the Vice Presidential Office here on Thursday.

The use of locally-made components for the construction of electrical power transmission was aimed at encouraging the domestic industry to grow, he said.

"Therefore, the steel will come from Krakatau Steel. The steel will be produced by domestic factories so the project will use domestic components," he said.

The vice president said the construction of the electrical power transmission should be conducted according to the time lines so that the project could be completed in five years' time as expected.

In addition, the construction of the transmission should be handed over to medium-sized contractors in regions, he said.

Energy and Mineral Resources Minister Sudirman Said pointed out the government would authorize PLN to call tenders for the construction of the project in regions.

"PLN will have three contracts, namely a contract to buy raw materials from Krakatau Steel and other steel producers, a contract to produce materials to be assembled, and a construction contract which will involve as many regional contractors as possible," he said.  (WDY)