Siemens to strengthen steam turbine business in Indonesia

Siemens and NTP will invest approximately US$16.4 million in a steam turbine production facility in Bandung, West Java. Production is scheduled to start in the spring of 2011 with an annual capacity of 40 units. Fields of application for these industrial steam turbines will include geothermal, biomass, waste and solar thermal.

“Siemens is expanding its presence in Indonesia’s growing energy market, which is expected to show an annual growth rate of between around 6 and 7 percent,” said Markus Tacke, CEO of the Industrial Power Business Unit of Siemens Energy. “We see a huge potential for steam turbines for the Indonesian market to support the government’s 10,000 MW power generation acceleration program and to develop various industries such as sugar; fertilizer, crude palm oil, cement, oil refining and chemical.

The joint venture agreement between Siemens and PT Nusantara Turbine and Propulsi or NTP also encompasses the transfer of technology for industrial steam turbines.

“NTP is proud to be part of this important milestone for the industrial community in Indonesia by forming this joint venture with Siemens AG. Siemens is not only a highly recognized global brand, it also has the biggest market share for steam turbines in the world. Siemens is also prepared to develop the manufacturing of steam turbines with a capacity up to 250 MW” stated Supra Dekanto, NTP’s President Director.