Danantara Head: Rp 17.3 Trillion Investment Needed to Build Jakarta's Waste-to-Energy Plant

The Badan Pengelola Investasi (BPI) Danantara has stated that an investment of Rp 17.38 trillion is needed to build a Waste-to-Energy (PSEL) facility with a capacity of 8,000 tonnes per day in Jakarta. CEO of BPI Danantara, Rosan P. Roslani, explained that constructing a PSEL with a capacity of 1,000 tonnes per day requires approximately Rp 2 trillion. “For 2,000 tonnes, it’s not simply doubled. So, for 8,000 tonnes, the investment is roughly USD 1 billion,” said Rosan when met at the Office of the Coordinating Ministry for Food, Jakarta, on Monday (4/5/2026). Meanwhile, the waste at the Integrated Waste Landfill (TPST) Bantar Gebang currently stands at around 60 million tonnes. Therefore, the government, through Danantara, is accelerating the PSEL project to address the waste issue. The government initially plans to build PSEL facilities at three locations in Jakarta with a total processing capacity of 8,000 tonnes. However, in today’s memorandum of understanding signing, agreement was only reached for two sites: Bantar Gebang and Tanjungan, Kamal Muara. “Our target is that if we process this, it can at least be operational in early 2028,” Rosan stated. Furthermore, the former Chairman of the Indonesian Chamber of Commerce and Industry (Kadin) mentioned that in the future, the PSEL capacity is expected to continue increasing, not just limited to 8,000 tonnes per day. The goal is to process previous waste accumulations and clean up Bantar Gebang. “So, the construction might be for 8,000, could be 10,000, could be 12,000, so that the old waste can be taken,” said Rosan. According to him, based on the latest technology, old waste can also be processed into electricity, although it yields lower electricity energy. Then, the energy produced by the PSEL is sold to the State Electricity Company (PLN) at 20 US cents per kWh. “The selling tariff to PLN is already set, at USD 0.20,” he said.