Indonesian Political, Business & Finance News

Batang Industropolis SEZ Has Potential to Become a Green Industrial Zone

| | Source: REPUBLIKA Translated from Indonesian | Economy
Batang Industropolis SEZ Has Potential to Become a Green Industrial Zone
Image: REPUBLIKA

The transformation of the Batang Industropolis Special Economic Zone (SEZ) in Central Java into an Eco-Industrial Park (EIP) requires multi-party collaboration, particularly in the development of clean energy, technology transfer, green financing, and supply chain strengthening. This was discussed during a focused group discussion titled ‘Decarbonisation Diplomacy with Leverage: Formulating a Transformative Partnership Strategy at the Batang Industropolis SEZ’, held by the Ministry of Foreign Affairs and Synergy Policies in Semarang last week.

Synergy Policies Executive Director Dinna Prapto Raharja stated that transforming the zone is not merely about attracting investment. ‘We need to ensure that investment brings clean technology, strengthens supply chains, opens opportunities for local suppliers, and delivers economic benefits to surrounding communities,’ Dinna said in a written statement on Tuesday. She identified four key areas requiring reinforcement: Indonesia-China cooperation through the Two Countries Twin Parks (TCTP) scheme, clean energy mapping, supply chain integration and technology transfer along with its financing, and community engagement.

Acting Secretary General of the National SEZ Council Edwin Manansang noted that the TCTP could serve as a catalyst for developing a sustainable industrial zone. The investment value under this cooperation framework is estimated to reach Rp 37.1 trillion, with Batang designated as one of the Indonesia-China cooperation areas. ‘With an estimated investment of Rp 37.1 trillion, Batang has a significant opportunity to evolve into an industrial zone oriented not only towards investment, but also technology, clean energy, and enhanced industrial competitiveness,’ Edwin said.

Head of the Central Java Regional Development Planning Agency (Bappeda) Yusmanto explained that Batang already possesses initial capital to be developed as a green industrial zone, including a solar power plant, an integrated wastewater treatment plant with a capacity of 18,000 cubic metres per day, an 18-kilometre piping network, and a waste processing facility capable of handling 35 tonnes per day. ‘The Batang Industropolis SEZ already has some initial capital. The challenge now is to ensure these achievements are consistently and measurably improved from environmental, economic, and social perspectives,’ Yusmanto stated.

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