Kalimantan and Sumatra captive coal mines

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A number of proposed mine-mouth generating plants are in preliminary stages of development in the interior rainforests of Kalimantan and Sumatra. These projects include:

Reserves and CO2 Emissions

Indonesia's proposed captive coal mines will produce 3.7 billion tonnes of carbon dioxide over the 40-year projected lifetime of their associated coal plants.[1]

Strategic Significance

Borneo and Sumatra are the third and sixth largest islands in the world, respectively, six times the size of Great Britain with some of the largest remaining tropical rainforests. The large open-pit coal mines operating and proposed on these islands are among the most environmentally and socially destruction mega-projects in the world, producing both direct emissions of carbon dioxide as well as destroying large tracts of rainforest.

Companies Involved

The projects are being developed by a combination of Indonesian, Chinese, and Malaysian companies. Some are independent power projects supplying power to Indonesia's PT PLN national power company. Others will generate power for mining and metal processing, with excess power sold to PT PLN. Among the companies involved are Bhakti Energy, China Shenhua Overseas Development and Investment, China Electric Power Construction, Dongfang Electric Corporation, Sinar Mas Group, PT Bukit Asam, Tanaga Nasional Bhd, PT PLN Persero, BlackGold, China Huadian, China National Electric Engineering Company, Dian Swastika Sentosa, China Shenhua

Potential ESG Risks

Corruption

Labour Rights

Indigenous Rights

NGO's Involved

Local Opposition

Status of Project

Infrastructure

Development of infrastructure such as roads and high-voltage transmission lines is critical to projects in previously unexploited areas, especially central Sumatra.

Domestic Political Situation

Project Economics

Tax Revenues

International Dynamics

Financing

Articles and resources

References

  1. "Coal Plants by Country: Lifetime CO2," Global Coal Plant Tracker, July 2018

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