Danantara begins construction of Bali PSEL, ensures technology is proven

Danantara Indonesia has commenced construction of a Waste-to-Energy (PSEL) facility in Bali, ensuring the technology to be deployed is already proven. “This morning is a very historic day for us, this is the first time in the Danantara Waste-to-Energy or PSEL programme that a groundbreaking has been carried out, first in Bali,” said Danantara Indonesia CEO Rosan Roeslani in Denpasar on Wednesday. Rosan explained that the need for this technology arose from President Prabowo Subianto’s directive to resolve the waste problem quickly. To eliminate waste, the government does not want any negative environmental impact, hence the solution of processing waste into energy emerged. Danantara Indonesia, through PT Danantara Investment Management (DIM) and PT Daya Energi Bersih Nusantara (Denera), moved swiftly to find partners and identified proven technology tested in 50 countries for solving waste issues. “Whether it is new waste or old waste, it can be absorbed and taken. When I visited several places, both in China and Japan, this programme is very clean. In fact, in China, the PSEL is located in the middle of an elite residential area because it is clean and has no smell at all; even behind it, a reading garden and recreation area for children were built,” Rosan stated. He therefore hopes the public will wait, as once the Bali PSEL is completed, it will change the perspective on waste processing. “I am confident this will be clean, odourless, and will actually become a place to be studied, visited, and serve as another useful space for a reading garden or recreation,” he added. CEO of PT DIM Pandu Patria Sjahrir added that the Bali PSEL journey has been conducted professionally, supported by technical, operational, legal, financial, and environmental expertise, starting from selecting partners. Construction has now begun in Pedungan Village, Denpasar, which is an agglomeration of Denpasar and Badung, with operations commencing in early 2028 to process 1,500 tonnes of waste per day. Pandu explained that the Bali PSEL is designed to deliver tangible impacts on waste management, green energy, and the local economy by adhering to the European Industrial Emission Directive (EU IED) environmental standards. The project is targeted to manage more than 500,000 tonnes of waste per year, meaning over 40 per cent of Bali’s waste generation will be processed. From an environmental perspective, the Bali PSEL is also projected to reduce landfill emissions by up to 80 per cent and cut carbon emissions by 640,000 tonnes of CO2 per year. “From the energy side, this initiative will produce green energy that can supply the needs of around 100,000 households in Bali. This initiative is valued at Rp3 trillion, estimated to create 1,200 green jobs and reduce landfill land requirements by about 80 per cent,” he said.