Jakarta (VNA) – Indonesia on August 26 commenced construction of a waste-to-energy (PSEL) facility in Bekasi city, West Java province, marking another step in the country's efforts to transform urban waste management towards greater sustainability.
The project is the second PSEL facility undertaken by investment management agency Danantara Indonesia, following the PSEL project in Bali, construction of which began in July. It is part of the environmentally friendly waste treatment programme under Presidential Decree No. 109/2025.
Bekasi plays a crucial role in the waste management system of the Greater Jakarta region, while its last landfill has exceeded capacity. The city has also prepared land for the project and committed to securing a steady supply of waste for the facility.
Pandu Sjahrir, Chief Investment Officer of Danantara Indonesia, said the project could create nearly 1,000 green jobs, provide clean energy for tens of thousands of households and offer an effective solution to the problem of urban waste management.
In Indonesia, overflowing landfills are becoming a problem in many localities, particularly large cities with rapidly growing populations and increasing volumes of waste. Many landfills are operating beyond their designed capacity, while expanding landfill areas is difficult and poses risks of environmental pollution.
The situation has prompted the Indonesian Government to shift from relying primarily on landfilling to waste-to-energy processing, viewing it as a solution to reduce pressure on landfills while utilising municipal waste to generate electricity.
During the groundbreaking ceremony, Danantara also signed a Power Purchase Agreement with the National Electricity Corporation (PLN), securing an outlet for electricity generated from waste./.