According to news reports, the project will build what may be the
world’s highest power pylon that will allow state-owned PLN to transmit surplus
electricity from Java to Bali which does not have major power plants.[i]
The PSI unions will hold discussions with (i) Mr Jon Lindborg, ADB-Indonesia Country Director, and (ii) Mr. Anthony Jude, Director Energy Division, ADB’s Southeast Asia Department (via teleconference). The PSI unions are joined by Mr Ian Mariano from PSI-APRO and Mr Fabby Tumiwa, Executive Director of the Institute of Essential Services Reform (IESR).
Based on project information posted at the ADB website, the amount
of the proposed ADB loan is $186.8M. The project’s outputs are: (1)
Distribution network is optimized in all five regions; and (2) Efficient
Project Management System in place. The outcome is to improve PLN's
efficiency of power distribution; project impacts include reduced energy
subsidy and CO2 emissions.[ii]
Initial issues PSI unions are raising include procedural,
technical/operational, environmental and social/cultural issues:
1. Initial project documents not disclosed or available at PDS
- Project is Environment ‘Category A’ – a draft EIA should be posted
at least 120 days before Board consideration
- TA report (approved in Aug 2009) should be posted upon approval of
concept paper
- Initial Poverty and Social Analysis (IPSA) should be posted upon
approval of concept paper
- Technical, economic feasibility study
2. Stakeholders consultation and participation
PSI energy unions, namely PLN, PJB and IPP unions, were not
invited to date to any of the consultations organized with PLN. For instance,
workers in the Diesel Power Generation plant in Bali were not consulted but
were only informed about the project.
3. Safety Factor
Since the tower is high and the sagging of transmission line
should be considered. Bali Strait is one of the busiest in terms of sea transport.
Tower development plan 500 kV transmission across 5 km of the Bali Strait is
necessary on account of heavy cables, cable distance with a minimum of water,
high waves, high transmission tower, wind speed, as well as construction land.
Traffic safety issues should also be noted, given that the Bali Strait is the
trajectory of the ship deployment and is very busy.
>> What are the safety measures?
4.
Technical feasibility
In discussions with workers, doubts concerning the possibility of
constructing an approximately 376-meter high tower that will run across a
distance of almost 5 km in Bali Strait. Currently, the highest transmission
tower is in China, 345 meters high running across the Yangtze River with
distance of 2.5 km. If implemented, the Java-Bali transmission crossing will be
first of its kind and the highest transmission tower in the world.
>> There should be an independent scrutiny of the
project’s feasibility study.
5. Operational Factors
The proposed transmission cable is up to Gilimanuk town, which is 150 km away from the
transmission control center in Kapal city. Hence, it
will still need another transmission tower development from Gilimanuk to the Kapal city,
which is not covered by the project. So if the tower is not
built up to the Kapal city,
the transmission project will not be
operational.
>> How is the transmission from Gilimanuk to Kapal City
central to be transmitted?
6. Proposed alternatives to the project
Upon initial discussions with the management of Diesel Power
Generation in Bali, it was found that they had recommended other alternatives
to the project including gasification, purchase of new diesel generation
machine, and looking at the coal power plant (which is highly sensitive). They
suggested these alternatives considering that Bali currently needs
approximately 650 MW of power and the current generation capacity is 708 MW.
They said that the Java-Bali Transmission Crossing is beneficial to Indonesia
government in the long term, but it does not consider the generation side
(Java) and the distribution side (Bali). They are concern if the project will
work immediately and this would need a short term action in order to ensure the
reliability of electricity for socio-economic activity in Bali.
7. Cultural Factor
Local governments in Bali will not permit the construction of the
tower from Gilimanuk city to Kapal city due to the highly respected culture in
Bali that all buildings must not exceed the height of coconut trees or more
than 20 meters. To date, the local government in Bali has not passed a
resolution to approve the project.
>> How will the project address this problem?
8. Environment Category ‘A’
Environment category of the project is “A” which means there are
likely significant adverse environmental impacts that are irreversible, diverse
or unprecedented.
>> What environmental risks or impacts have been
identified and how will these be addressed?
9. Impact on existing generation workers in Bali
There already exists a Diesel Power Generation plant in Bali with
very high operational costs, so that when the 500 kV power
transmissions becomes operational and supplies electric power from Java island, will cease Diesel Power Generation
plant will likely shut down. It is
thus feared that the employment of
existing 240 employees will be affected.
Furthermore, it was also noted from the discussions with management and
workers that some generation equipments will be transferred to Papua and thus,
the plant will be put on standby which would mean less number of workers will
be needed.
>> What will happen to existing generation workers in
Bali? There should be a labor impact assessment of the project,
preferably jointly between ADB and PSI, or an analysis of the likely impacts on
the workers of the generation and distribution companies of PLN, including, the
impacts of non-PLN workers along the way of transmission line in Bali.
The PSI energy unions have also come up with the following initial
recommendations:
a)
Full disclosure of
initial project documents
b)
Include workers unions
and other interested stakeholders in next round of consultations.
c) Independent review of technical and economic feasibility of the
project, including risk assessments and safety management, and gauge against
other options or alternatives.
d)
Address issue of cultural
/ customary law applicable
in Bali and consider other alternatives.
e) Independent review of draft environmental impact assessment.
f)
Ensure that power
workers are not adversely affected by the project.
g) Conduct a joint labor impact assessment with PSI unions.
Some of the above issues were also presented by Bro Wowot (SP-PJB)
in a meeting with Mr Kunio Senga, Director General of ADB’s Southeast Asia
Department in Manila last April 30, where Mr Senga expressed appreciation of
the findings of a field research prepared by PSI affiliate AGWWAS vis a
proposed water supply project in the Philippines. He said that he would
be open to a joint research on impacts on workers of ADB project, or variations
thereof – e.g., PSI findings incorporated in an ADB project document. Mr
Senga also informed PSI that he worked with ILO in his earlier career.
Last July, PSI energy unions visited the Diesel Power Generation
plant in Bali and interacted with the workers and management to discuss the
future impacts of the proposed transmission project. [Short report and photos
c/o Ian Mariano available at PSI-APRO facebook: http://www.facebook.com/photo.php?fbid=440716119293554&set=oa.343877529021896&type=1&theater
We are awaiting the ADB’s response to the initial issues that the
PSI energy unions have raised.
Regards,
Bobet Corral
