Danantara opens tender for PSEL project in 25 cities this month

Jakarta (ANTARA) - The Investment Management Agency for the Future Power of the Archipelago (Danantara Indonesia) will open tenders for Waste to Energy (WtE) or Waste Processing into Electricity (PSEL) projects for 25 cities in Indonesia this month or April 2026.

Managing Director of Stakeholder Management and Communications at Danantara, Rohan Hafas, stated that the number of cities involved in the second batch is far greater than the first, due to the high interest from local governments (pemda) in the PSEL project.

“There are 25 cities in the second batch. So, almost all provincial capitals will receive waste processing facilities,” Rohan said during the Afternoon Coffee Session at Wisma Danantara in Jakarta on Thursday.

Rohan indicated that it is possible that the winners of the second-phase PSEL tender could be companies from the same country as the first-phase winners, namely China.

As is known, the winning companies for the first-phase PSEL projects in Bogor and Denpasar are from China, namely Zhejiang Weiming, while the Bekasi project was won by Wangneng Environment Co., Ltd.

On the same occasion, the Lead of Waste-to-Energy and Director of Investment at Danantara Investment Management (DIM), Fadli Rahman, explained that not all regions can immediately become investment locations for PSEL projects.

He explained that PSEL projects can only be implemented in areas with a minimum waste volume of 1,000 tonnes per day.

“So, the local government must be capable, the local government must be ready, and the location must meet the thresholds stipulated in the regulations,” said Fadli.

In addition to meeting the waste volume threshold, he continued, the projects must also pass a series of studies, from technical, commercial, financial aspects to risk management.

“They must pass everything. The technical aspects must pass, the commercial aspects must pass, the financial aspects must pass, and the risk management study must pass, so that we can proceed to the actual modification of the investment,” said Fadli.

In the first batch, Danantara has determined the winning companies for the PSEL projects in Denpasar and Bogor as Zhejiang Weiming. Meanwhile, the Bekasi city project was won by Wangneng Environment Co., Ltd.

The investment value for each project is estimated at around Rp2.5 trillion to Rp2.8 trillion.