The Central Java Power Plant project is a 2 x 1,000 MW coal-fired power plant in Batang Regency, Central Java. The power plant facility valued US$ 4 billion or more than Rp40 trillion, will be developed by PT Bhimasena Power Indonesia (BPI) consortium under a Build-Operate-Transfer scheme with a 25-year concession period. This is the first PPP infrastructure project to be accomplished with a co-guarantee facility by IIGF and the Government of Indonesia (Ministry of Finance) as provided for in Perpres 78/2010.

Four years later, on 28 August 2015, has carried out the construction kick-off for CJPP witnessed by the President of Republic of Indonesia Joko Widodo.In accordance with Government regulations and with reference to the Power Purchase Agreement (PPA) as the PPP Agreement between PT PLN (Persero) and BPI, IIGF has signed a Guarantee Agreement with BPI and a Recourse Agreement with PT PLN (Persero) as the Contracting Agency (CA) of the project on October 6, 2011. Later on, IIGF has proactively established the Joint Monitoring Committee (JMC) along with representatives from BPI and PT PLN (Persero) to monitor the progress of this project.

On 6 June 2016, this project has reached the Financial Close and was targeted to operate in early 2020.

Central Java Power Plant demonstrates Government’s commitment to infrastructure development under PPP scheme. Furthermore, this project is expected to be a successful project showcase of the collaboration between the government and private sector to support the achievement target of “nawacita”.