The Indonesian government is set to begin construction of 34 Waste-to-Energy (WTE) plants starting this month as part of its national downstreaming strategy. State Secretary Minister Prasetyo Hadi stated that groundbreaking activities will take place between January and March 2026 in districts and cities generating more than 1,000 tons of waste per day. The initiative is aimed at addressing the growing challenge of daily waste accumulation while transforming non-recyclable waste into useful energy such as electricity, heat, or alternative fuels.
The WTE program is one of 18 strategic downstreaming projects scheduled to commence in the first quarter of 2026, all of which have passed the pre-feasibility study stage. These projects are estimated to attract total investments of up to IDR 600 trillion and will be led by Indonesia’s sovereign wealth fund, Danantara Indonesia. The government expects the WTE plants to significantly reduce environmental and health risks, curb open dumping practices, and support national energy self-sufficiency by lowering dependence on conventional energy sources like coal. In parallel, Indonesia is also preparing to start a coal gasification project to produce Dimethyl Ether (DME), which is expected to help reduce reliance on LPG and further strengthen energy resilience.
