SBS INTL, and its State-owned Partner, PT Indonesia Power, have jointly received a formal Expression of Interest (EoI) from United Kingdom Government Export Finance Agency (UKEF) detailing USD 41 Million project development financing for MWh-scale tidal turbine generator facilities in Indonesia’s Larantuka Strait.
UK marine, subsea development-engineering and tidal energy project developer SBS, local company, PT SBS Indonesia, and its joint-participating partner, State-owned, Indonesia Power, acting on behalf of its Parent Company, Indonesia State-owned electrical offtaker, PLN, have received a formal EoI from UKEF. The proposed Larantuka Strait plan of development for tidal energy arrays provides for clean, zero-emissions, sustainable, renewable, tidal energy power to the communities of East Flores and Adonara in direct support of an aggressive, ‘de-dieselisation plan’ by PLN, mandated by the Indonesian Government.
Under a fully-executed, joint-participating agreement between Indonesia Power and SBS, Indonesia Power provides Government/PLN liaison and permitting, while SBS is the nominated project director. During a recent feasibility study, Indonesia Power funded an IEC-compliant primary data tidal resource survey activity, while SBS delivered a 220-page feasibility study report, which included a copy of the ITB (Institute of Technology Bandung) survey activity report; as well as Feasibility Study and survey data analysis reports by our UK and Indonesian metocean specialists.
SBS Group Chairman & CEO, Michael J. Spencer, said: “Clearly, the EoI from UKEF is a vote of confidence for Indonesia and the joint-participating Parties. We warmly thank the British Government’s local Country Manager and UKEF London Team, as well as British Embassy International Trade & Investment Team in Jakarta, for their excellent support and encouragement. We have delivered a detailed Project Development Plan and Scope of Work for the next development stages for the Larantuka project and look forward to commencing the procurement process with Indonesia Power to select a suitably-qualified specialist tidal energy contractor to deliver the front-end engineering (FEED) activity.”
SBS has been providing marine and subsea development engineering expertise in Indonesia for 24 years; has researched and secured, ocean energy site-development rights directly through MoU, EoT and draft PPA with PLN, in selected tidal energy resource locations since 2012. The fully-developed and 3rd-Party reviewed SBS business model for Indonesia, demonstrates high local content, with progressive reductions in LCoE going forward; through techno-economic due diligence of OEMs; workable, MWh-scale tidal energy device technologies; while providing cost/time/resource reductions delivered from the local supply chain for local manufacture of tidal turbine generators and related components in Indonesia.