Indonesian Political, Business & Finance News

Pertamina's Sustainable Bioenergy Initiative Wins Global Recognition

| | Source: REPUBLIKA Translated from Indonesian | Energy
Pertamina's Sustainable Bioenergy Initiative Wins Global Recognition
Image: REPUBLIKA

PT Pertamina (Persero) has been honoured with the Outstanding SDG Innovator 2026 award at the United Nations Global Compact’s SDG Innovation Accelerator for Young Professionals event in Jakarta. The state-owned energy company was recognised for its ‘Bioenergy Lestari’ concept, which presents a new approach to managing social forestry areas by integrating conservation, community empowerment, and the development of a renewable energy value chain.

Muhammad Baron, Vice President of Corporate Communication at PT Pertamina, stated that the award demonstrates how the company’s innovation delivers social and environmental impact while simultaneously creating new business opportunities that support national energy security. ‘We believe innovation is a key driver of the company’s transformation towards a more sustainable business,’ he said.

The Bioenergy Lestari programme develops a bioenergy ecosystem based on social forestry without opening new land or disrupting food security. One of the key commodities being studied is sweet sorghum as an alternative feedstock for bioethanol, with development tailored to the local resource potential of each region. As an initial implementation, Pertamina, through the Pertamina Foundation in collaboration with Universitas Gadjah Mada (UGM), has launched a three-hectare pilot project for sweet sorghum cultivation in the Special Purpose Forest Area (KHDTK) in Blora, Central Java.

Beyond producing more environmentally friendly energy raw materials, the innovation also promotes a circular economy by utilising value-added by-products. This approach opens new business opportunities, increases community income, and strengthens the economic viability of bioenergy development. Baron emphasised that Bioenergy Lestari is a strategic step for Pertamina, positioning social forestry not merely as a corporate social responsibility initiative but as part of the company’s strategy to build a green economy and support the energy transition.

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