Danantara and DKI Provincial Government Sign MoU for Waste-to-Energy Project
JAKARTA - The Investment Management Agency (BPI) Danantara and the DKI Jakarta Provincial Government have signed a memorandum of understanding (MoU) regarding the Waste Processing into Electricity (PSEL) project.
The MoU was signed in the presence of Coordinating Minister for Food Affairs Zulkifli Hasan (Zulhas), Jakarta Governor Pramono Anung, and representatives from Danantara.
Zulhas stated that the MoU includes provisions for accelerating the construction of PSEL in DKI Jakarta.
“This demonstrates the seriousness of the DKI Provincial Government and the Indonesian government in national waste management,” said Zulhas at the Coordinating Ministry for Food Affairs office in Jakarta on Monday (4/5/2026).
Zulhas explained that through this project, Jakarta’s accumulated waste will be processed into electricity.
“With the acceleration of the business entity selection process, the Jakarta Governor has proposed two locations for PSEL,” said Zulhas.
The Chairman of the National Mandate Party (PAN) noted that Jakarta’s waste problem has been a concern for many parties.
President Prabowo Subianto has even paid special attention to Jakarta’s waste issues.
“We were almost there; a few weeks ago, he was calling almost every week about waste, mainly Bantar Gebang, Mr Governor,” Zulhas remarked.
He mentioned that Jakarta’s daily waste volume reaches 9,000 tonnes, with 87% still relying on open dumping (open stacking disposal) such as at Bantar Gebang.
“It has far exceeded capacity. If measured, Bantar Gebang is like a building with how many floors, Mr Governor? 16, 17 floors,” said Zulhas.
Meanwhile, the land used for the processing plant site and power plant does not utilise assets of the Jakarta Provincial Government.
The land belongs to private entities. In this case, the Jakarta Provincial Government guarantees that the land can be used for the Danantara project.
“The provision of land is not provided by us, but through cooperation,” said Dudi.