Three WtE projects granted national strategic project status

By M. Zaki Mubarok

The government has designated three waste-to-energy (WtE) projects in Bekasi, Greater Bogor, and Greater Denpasar as National Strategic Projects (PSN), marking a significant step in efforts to address the country's growing waste management challenges while expanding renewable energy capacity.

The projects form part of the first wave of Indonesia's WtE development program and are being advanced by PT Daya Energi Bersih Nusantara (Denera), a subsidiary of state-owned PT Danantara Investment Management (DIM) that focuses on c.

The designation is based on Coordinating Minister for Economic Affairs Regulation No. 16 of 2025, which includes an Integrated Waste Management Program in the National Strategic Projects list, as well as Presidential Regulations No. 35 of 2018 and No. 109 of 2025 on accelerating environmentally friendly waste-to-energy development.

According to DIM, the PSN status reflects the government's commitment to making waste-to-energy development a national priority. The facilities are expected to help reduce pressure on landfills, improve urban waste management, support renewable power generation, and lower greenhouse gas emissions.

"The PSN designation for these three projects marks an important milestone in building the foundation of Indonesia's waste-to-energy industry," DIM Chief Executive Officer Pandu Sjahrir said in a statement.

"Through Denera, we aim to accelerate the realization of a waste-to-energy ecosystem that can serve as a long-term solution to Indonesia's waste management challenges," he added.

The PSN status was formalized through certificates issued by the Committee for Acceleration of Priority Infrastructure Delivery (KPPIP) under the Coordinating Ministry for Economic Affairs to the respective Project Development and Management Entities (BUPP) responsible for the projects.

The three BUPPs that received the designation are Bekasi Environment Nusantara for the Bekasi WtE project in West Java, Nusantara Bogor New Energy for the Greater Bogor project in West Java, and Nusantara Bali New Energy for the Greater Denpasar project in Bali.

The project companies were established following DIM's selection of development partners and will oversee the implementation of the facilities in accordance with agreements reached with the government.

Under the PSN framework, the projects will benefit from stronger coordination among ministries and government agencies, support in resolving implementation obstacles, and access to various facilitation mechanisms aimed at ensuring timely project completion.

Denera Chief Executive Officer Fadli Rahman said the designation highlights the strategic importance of waste-to-energy development beyond the regional level.

"This PSN designation demonstrates that waste management through waste-to-energy facilities is no longer merely a regional requirement, but a matter of national strategic importance," Fadli said.

He added that the status is expected to accelerate implementation at the three initial locations and provide a foundation for the expansion of waste-to-energy facilities to other regions.

DIM and Denera said the projects are intended to serve as the starting point for the development of a national waste-to-energy ecosystem through collaboration with central and regional governments, technology providers, and other stakeholders.

The companies said the initiative is expected to generate environmental, social, and economic benefits while helping tackle Indonesia's mounting urban waste problem.

Editing by Reiner Simanjuntak