Cirebon I and II Coal Power Plants, West Java, Indonesia
Description:
The first unit of the Cirebon coal power plant (Cirebon I), located in Kanci Village, was put in operation in July 2012. The 660 MW plant is operated by PT Cirebon Electric Power (CEP), which is a joint venture between some of Asia’s leading companies on the energy and infrastructure arena: Marubeni Corporation, Indika Energy, Korean Midland Power, and Samtan Corporation [1]. The project was financed through a USD 595 million loan from the Japan Bank for International Cooperation (JBIC), the Export-Import Bank of Korea (KEXIM) and the commercial actors ING Bank, Mizuho Bank, Sumitomo Mitsui Banking Corporation & Bank of Tokyo-Mitsubishi UFJ [2]. In 2013 plans were released to expand the facility by adding another coal-fired unit – Cirebon II – with a capacity of 1 GW [3]. Before the project took ground, PT CEP changed its name to PT Cirebon Energi Prasarana (CEPR) as JERA Co was added to the consortium of investing companies. PT CEPR was granted yet another loan from the same group of financiers, which this time amounted to USD 1,750 million [2] [4] [5]. Local residents have faced substantial livelihood losses as a result of air, thermal, and water pollution from the power station. Fishing is a main source of income in the region, but catches are drastically decreasing. Whereas before fish and shrimps could be caught close to the coastline or the beach, it is now necessary to go further out at sea. Naturally, this has raised operational costs and led to many fishermen becoming migrant workers. Salt production is another main income-bringing activity, which is now becoming increasingly difficult due to waste and dust from the power plant polluting the sea and river waters [6]. Air pollution is affecting rice yields, and villagers suffer from respiratory problems due to reduced air quality [7] [8]. Fearing that the adverse impacts from the plant will worsen as it expands, local residents advocate for Cirabon I to be closed, and the expansion of Cirabon II to be stopped [9]. Widespread mobilization against the operations of Cirebon I and the construction of Cirebon II has been seen, both nationally and internationally. In 2016, activists climbed cranes of the Cirebon I facility, blocking the coal supply [7]. Additionally, villagers and ENGOs have sent several formal complaint letters to JBIC and the commercial lenders, without receiving any response [9]. In March 2017, a petition signed by 280 CSOs from 47 countries was handed over to the Japanese government, calling for a withdrawal of investments from the Cirebon facilities as well as the coal-fired power plant located in Indramayu, also in West Java, which both have JBIC as their main financier. Initial signatories of the petition were WALHI Indonesia, Friends of the Earth Japan, Japan Centre for a Sustainable Environment and Society (JACSES), Kiko Network Japan, and 350.org Japan. The petition was handed over by three Indramayu residents and representatives from WALHI West Java who had travelled to Tokyo [10] [11]. There has also been mobilization against the commercial lenders, as well as against Hyundai Engineering & Construction, which was contracted for the construction of Cirebon II and bribed the Cirebon Regent to calm protesting community members [12] [13].
In April 2017, residents supported by several NGOs filed a lawsuit (No. 124/G/LH/2016/PTUN-BDG) against the Provincial Investment and Licensing Agency (BPMPT) for issuing the environmental permits for the plant. The court found the permit to stand in conflict with spatial planning laws, and it was thus revoked [14] [15] However, after having appealed, PT CEPR regained its permit [16]. The legal battle is still on-going, since a number of NGOs continue to send review letters questioning the issuing of the permit [17]. However, in February 2019 it was announced that 24% of the construction of Cirabon II was completed, and that the plant is on track to commence its operations by 2022 [3]. |
Basic Data
| Name of conflict: | Cirebon I and II Coal Power Plants, West Java, Indonesia |
| Country: | Indonesia |
| State or province: | West Java |
| Location of conflict: | Cirebon Regency, Astanajapura District, Kanci Village |
| Accuracy of location | HIGH (Local level) |
Source of Conflict
| Type of conflict. 1st level: | Fossil Fuels and Climate Justice/Energy |
| Type of conflict. 2nd level: | Coal extraction and processing Thermal power plants |
| Specific commodities: | Coal |
Project Details and Actors
| Project details | CIREBON I Coal consumption: 2.3 million ton/year Capacity: 660 MW Main steam temperature: 569 degrees Transmission line: +1.5 km CIREBON II Coal consumption: 3.2 million ton/year Capacity: 1 GW Main stream temperature: 600 degrees Transmission line: 18.2 km [18] |
| Project area: | 204.5 |
| Level of Investment for the conflictive project | Cirebon I 877.5 million and Cirebon II 2 billion |
| Type of population | Rural |
| Affected Population: | - |
| Start of the conflict: | 2012 |
| Company names or state enterprises: | JERA Co., Inc. from Japan - Investor in Cireban II Marubeni from Japan - Investor in Cireban I & II PT Indika Energy Tbk (INDY) from Indonesia - Investor in Cireban I & II Korea Midland Power Co., Ltd. (KOMPIO) from Republic of Korea - Investor in Cireban I & II Samtan Co., Ltd. from Republic of Korea - Investor in Cireban I & II |
| Relevant government actors: | The Government of the Republic of Indonesia The Cirebon Regency Government The Bali Province Government The Government of the Republic of Korea South Korea The Government of Japan |
| International and Finance Institutions | ING Bank NV from Netherlands Export-Import Bank of Korea (KEXIM) (KEXIM) from Republic of Korea Mizohu Bank, Ltd. (MHBK) from Japan Sumitomo Mitsui Banking Corporation (SMBC) from Japan The Bank of Tokyo Mitsubishi UFJ (MUFG) from Japan Japan Bank for International Corporation (JBIC ) from Japan |
| Environmental justice organizations (and other supporters) and their websites, if available: | WALHI West Java, https://walhi.or.id/ Bandung Legal Aid Friends of the Earth Japan, http://www.foejapan.org/en/ Japan Centre for a Sustainable Environment and Society (JACSES), http://jacses.org/en/ Kiko Network Japan, https://www.kikonet.org/ 350.org Japan, https://world.350.org/ja/ and more... |
Conflict & Mobilization
| Intensity | MEDIUM (street protests, visible mobilization) |
| Reaction stage | PREVENTIVE resistance (precautionary phase) |
| Groups mobilizing: | Farmers International ejos Local ejos Neighbours/citizens/communities Fisher people |
| Forms of mobilization: | Blockades Development of a network/collective action Development of alternative proposals Lawsuits, court cases, judicial activism Objections to the EIA Official complaint letters and petitions Street protest/marches |
Impacts
| Environmental Impacts | Visible: Air pollution, Biodiversity loss (wildlife, agro-diversity), Surface water pollution / Decreasing water (physico-chemical, biological) quality |
| Health Impacts | Visible: Other Health impacts |
| Socio-economical Impacts | Visible: Loss of livelihood, Lack of work security, labour absenteeism, firings, unemployment, Loss of traditional knowledge/practices/cultures Potential: Increase in Corruption/Co-optation of different actors |
Outcome
| Project Status | In operation |
| Conflict outcome / response: | Court decision (failure for environmental justice) Migration/displacement |
| Proposal and development of alternatives: | Most EJOs involved in the mobilization advocate for the operations of Cirabon I to be stopped, and the construction of Cirabon II to be cancelled. |
| Do you consider this an environmental justice success? Was environmental justice served?: | Not Sure |
| Briefly explain: | The legal process is still on-going, and it could be that the court rules in favour of the citizens' objection to the EIA granted. However, since the construction seems to be proceeding according to plan, the chances for a complete revocation look bleak. |
Sources & Materials
| Juridical relevant texts related to the conflict (laws, legislations, EIAs, etc) |
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Meta information
| Contributor: | Emmy Iwarsson (ICTA-UAB) |
| Last update | 30/10/2019 |
| Conflict ID: | 3223 |
Images |
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Activists climbing cranes of Cirebon I in May 2016
Source: https://news.mongabay.com/2017/04/indonesian-court-revokes-environmental-license-for-the-cirebon-coal-plant-expansion/
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Local fishermen awaiting the Bandung Administrative Court ruling in front of the court house in April 2017
Source: https://news.mongabay.com/2017/04/indonesian-court-revokes-environmental-license-for-the-cirebon-coal-plant-expansion/
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Group of local residents and NGO representatives protesting in front of the Japanese Ministry of Foreign Affairs, Tokyo
Source: https://gofossilfree.org/indonesian-farmers-and-fishermen-deliver-a-clear-message-to-japan-stop-funding-dirty-coal/
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Cirebon I
Source: https://www.power-technology.com/projects/cirebon-coal-fired-power-plant-expansion-west-java/
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