Morning Briefs – Jan 9

JAKARTA (TheInsiderStories) – Good morning. Followings are some relevant news that might help your business decisions today:

PP Energi to Raise up to Rp3 Trillion from IPO
JAKARTA (TheInsiderStories) – PT PP Energi, a subsidiary of state-owned construction company PT PP Tbk (IDX:PTPP) aims to raise between Rp1.5 trillion-Rp3 trillion from initial public offering (IPO) set for the first half of this year. President Director of PT PP Tumiyana said the company plans to sell 30-35 per cent of the company’s shares via IPO. PP Energi follows the footpath of PT PP Presisi Tbk, another subsidiary of PT PP, which has already listed its shares on the Indonesian Stock Exchange on Nov. 24, 2017, raising Rp1.01 trillion in fresh funds.

Renewable Energy Production Exceeds 2017 Target
The Energy and Mineral Resources Ministry has announced that, as of December 2017, renewable energy contributed to 12.62 per cent of the total national electricity supply, exceeding the 2017 state budget target of 11.96 per cent, The Jakarta Post reported. The country’s renewable energy supply comes from state-electricity firm PLN and private companies. “The energy mostly comes from hydropower plants and geothermal energy plants,” ministry spokesman Agung Pribadi.

Pertamina, AKR Corporindo Appointed to Procure Subsidized Fuels

Indonesia has appointed state-owned diversified energy company PT Pertamina and privately owned PT AKR Corporindo Tbk (IDX:AKRA) to procure subsidized fuels for the period of 2018-2022, said Muhammad Fanshurullah Asa, the chairman of downstream oil and gas regulator BPH Migas, on Monday. Previously, these appointments were awarded annually, and according to the energy ministry, the switch to a five-year assignment period would help companies develop fuel distribution infrastructure. However, allocations or quotas will still only be valid for a one-year period and will be reviewed annually.