The Cirebon 3 power plant will be built in the area adjacent to the operational Cirebon coal fired power plant project and the Cirebon 2 coal fired power plant project, which is due to be commissioned in 2020 in Cirebon, West Java Province.

CEPR, a joint venture between Marubeni, PT Indika Energy Tbk, Samtan, Korea Midland Power, and Chubu Electric Power, is constructing the $2bn Cirebon 2 project as an expansion to the existing Cirebon facility.

The project will be based on ultra super-critical technologies, which usually derives most of its energy from coal through advanced technology available for commercial use.

Power generated from the 1,000MW Cirebon expansion plant will be supplied to Indonesia’s state-owned electricity utility PT PLN (Persero) under a long-term power purchase agreement (PPA).

Power generated from the $850m Cirebon power plant, which was commissioning in July 2012, is also sold to Persero at a price of 4.43 US cents per kWh, under a PPA signed earlier.

The projects are expected to contribute to the Indonesian government’s aim to have an additional 35GW of installed power capacity by 2019.