Indonesia Accelerates Waste-to-Energy (PLTSa) Projects to Support Green Energy Transition
- STIC CEGIR
- Nov 5
- 2 min read
The Indonesian government, through the Ministry of Energy and Mineral Resources (ESDM), is accelerating the development of Waste-to-Energy (PLTSa, WtE) projects as a dual solution for urban waste management and renewable energy generation. Of the 12 priority regions designated under Presidential Regulation No. 35 of 2018, only two cities have successfully operated PLTSa facilities—Surakarta and Surabaya. The Surakarta PLTSa, managed by PT Solo Citra Metro Plasma Power, processes around 545 tons of waste per day with a capacity of 5 MW and has been operating since 2024. Meanwhile, the Surabaya PLTSa, operated by PT Sumber Organik, has been running since May 2021, processing 1,000 tons of waste per day and generating 9 MW of electricity. The success of these two cities serves as an initial model for expanding similar projects across Indonesia.
The government aims to increase PLTSa capacity to 452.7 megawatts (MW) by 2034, requiring an estimated investment of US$2.72 billion (around Rp45.4 trillion). To achieve this, the government is preparing a new Presidential Regulation on Waste Management (RPerpres Sampah) to accelerate investment and strengthen a more flexible and competitive regulatory framework for the energy industry. Under this new scheme, investment selection mechanisms will be made more transparent, allowing greater participation from private companies. Local governments will also play a strategic role in determining projects priorities and ensuring a minimum supply of waste consistent with each plant’s capacity.
Beyond the two operational cities, 13 additional PLTSa projects are being fast-tracked. These include projects in Palembang (capacity 17.7 MW, target operation in 2026), four ITF projects in Jakarta (West, East, South, and Sunter areas) targeting COD in 2028-2029, as well as projects in Tangerang, Bekasi, West Java, Semarang, Bali, North Sulawesi, and Makassar. The Makassar PLTSa, developed by PT Sarana Utama Synergy, will have a 19 MW capacity and is scheduled to begin operation in 2027.
Furthermore, waste processing will not only be focused on electricity generation but also on producing biomass and renewable fuels, adding up to 1.3% in economic value. The PLTSa projects will also be incorporated into PLN’s Electricity Supply Business Plan (RUPTL) 2025-2034, with PLN serving as the primary offtaker for electricity generated from waste. Through these efforts, the government seeks to expand national energy sources, reduce dependence on fossil fuels, and accelerate the decarbonization agenda and transition toward a green economy in Indonesia.
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