Environment Minister Coordinates the Process of Transferring Proposed WtE Sites to Danantara Indonesia

Jakarta, April 14, 2026 – The Minister of Environment/Head of the Environmental Management Agency, Hanif Faisol Nurofiq, today coordinated with Danantara Indonesia at Wisma Danantara regarding the process and stages of transferring potential sites for Waste-to-Energy (WtE) projects to Danantara Indonesia, as part of accelerating the national program for urban waste management.

This coordination is also part of the handover and submission of the Ministry of Environment's recommendations regarding potential WtE sites, which will then be studied and reviewed by Danantara Indonesia as the basis for proceeding with the next stages of project development, in accordance with applicable laws and regulations.

The WtE project development process begins with a partner pre-selection phase conducted by local governments, which involves the identification of potential plant locations, spatial planning compliance, land availability and status, waste volume and composition readiness, and local policy support. This initial phase serves as a critical foundation to ensure WtE projects can be presented to investors transparently and as bankable.

Nationwide, four locations have fully completed all stages of the pre-selection phase. As a follow-up, the partner selection process has been conducted for these four locations.

At today's meeting, the Ministry of Environment presented 31 regions to Danantara Indonesia for review. Twenty of the recommended locations are in compliance with applicable regulations and will proceed to the partner selection stage once the feasibility study is finalized. Meanwhile, the remaining 11 proposed locations still require further verification and/or regulatory refinement.

Danantara Indonesia CEO Rosan Roeslani emphasized that the division of roles between local governments and Danantara Indonesia is key to accelerating the WtE program sustainably.

"The pre-selection phase, particularly regarding locations, falls under the domain and responsibility of local governments as it directly relates to regional readiness and local waste management. Once this stage is completed and the location is deemed ready, Danantara Indonesia and investors will enter the selection process, including the selection of technology partners, followed by project development and financing. The feasibility study is conducted in accordance with Presidential Regulation No. 109 of 2025. We aim to ensure that every WtE project is well-planned, credible, and delivers long-term benefits," he said.

The development of WtE facilities is carried out through structured and layered stages, beginning with the local government's readiness to ensure the availability of waste supply, land, and local policy support, which is then verified and approved by the central government. Once the location is determined, technical and economic feasibility studies are conducted, along with the selection of the business entity responsible for developing and operating the project. This phase is followed by the signing of a cooperation agreement between the local government and the developer, the fulfilment of all permits through the integrated business licensing system, and the signing of a power purchase agreement with PT PLN (Persero). The WtE facility is then constructed, obtains operational certification, and is commercially operated with continuous monitoring and routine reporting in accordance with applicable laws and regulations.

Danantara Indonesia also ensures that the WtE partner selection process is conducted independently and professionally, involving a multidisciplinary team and experienced experts from both domestic and international backgrounds. This approach aims to maintain high governance standards, mitigate project risks from the outset, and ensure the long-term operational sustainability of the facilities to be built.

Furthermore, Danantara Indonesia sees WtE not only as a waste management solution but as a strategic investment platform integrated with the national energy transition and sustainable development agenda. Through a transparent and competitive cooperation model, Danantara Indonesia hopes WtE projects can attract the interest of both domestic and global investors, while delivering tangible benefits for the environment, the community, and local governments.

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About Danantara Indonesia

Danantara Indonesia, officially known as Badan Pengelola Investasi Daya Anagata Nusantara (BPI Danantara), is a strategic investment management institution established under Law No. 1 of 2025. As an independent entity under the President, Danantara Indonesia's mandate is to manage and optimize government investments and assets from State-Owned Enterprises (SOEs) in order to support the achievement of the Asta Cita vision, strategic national plans, as well as government programs to accelerate industrialization and economic growth. With a professional, transparent, and accountable approach, Danantara Indonesia aims to strengthen the governance of state assets, create added value for the economy, while increasing Indonesia's competitiveness in the global market.

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