The Development of Seulawah Agam Geothermal Working Area Under Indonesia's Geothermal License (IPB) Regulation Era

Abstract

Seulawah Agam Geothermal Working Area (WKP) is a WKP obtained by PT Pertamina (Persero) through a letter of determination of bidding winner by the Governor of Aceh Province Number 541/53157 in 2013. According to the mandate stated in the Request For Proposal (RFP) document, WKP that has the potential of an estimated 150 MW resources will be developed by the winner of the bidding together with the Aceh Province Regional Development Company (PDPA) in the form of a Joint Venture. The development of WKP in the regulation era of Geothermal License (IPB) as stated in Law No. 21 of 2014 is the first experience for PT Pertamina (Persero) so that in its management it must establish a new entity under the supervision and management of its subsidiary engaged in geothermal development, PT Pertamina Geothermal Energy (PGE). The development of this Seulawah Agam WKP is expected to not only provide added value for PGE but also provide additional Regional Income (PAD) through not only taxes and Non-Tax State Revenues (PNBP), but also from potential production bonuses and potential added value of Aceh Province regional companies for their contribution to the Joint Venture.