Debottlenecking Task Force Discusses Rp 1.3 Trillion Solar Power Project Stalled by Permitting Issues

JAKARTA, KOMPAS.com — Finance Minister Purbaya Yudhi Sadewa has once again chaired a debottlenecking session to expedite the resolution of obstacles to strategic national investments.

This time, the government focused its discussions on the floating Solar Power Plant (PLTS) project at Saguling Reservoir in West Java, which is stalled due to forest area permitting issues.

The session involved the Ministry of Forestry, the Ministry of Energy and Mineral Resources (ESDM), the West Java Provincial Government, PT PLN, and PT PLN Indonesia.

The project, valued at approximately 80 million US dollars or around Rp 1.39 trillion at an exchange rate of Rp 17,327 per US dollar, is a collaboration with the Saudi energy company ACWA Power.

The floating PLTS will be built at Saguling Reservoir, with the electricity sold to PLN under a power purchase agreement (PPA) scheme for 25 years.

“There is still a slight risk if we cannot resolve what needs to be addressed in the coming weeks,” said Tim during the session on Thursday (7/5/2026).

According to Tim, the project, originally targeted to operate on 30 June 2026, has now been delayed to March 2027. The delay is triggered by the permitting process, including the environmental impact analysis (Amdal).

The Ministry of Forestry stated that the permitting process has not fully progressed because there are still unfulfilled administrative requirements, namely a recommendation from the Governor of West Java.

“It has not yet been processed with us, but we have already provided assistance for the matters that need to be completed as quickly as possible,” said the ministry’s representative during the session.

The land originates from assets of the PLN Group in the Saguling Hydroelectric Power Plant (PLTA) area, which will be transferred to become a forest area.