Indonesian Political, Business & Finance News

PLN Cuts Business Entities from 44 to Just 23

| | Source: DUNIA-ENERGI.COM Translated from Indonesian | Energy
PLN Cuts Business Entities from 44 to Just 23
Image: DUNIA-ENERGI.COM

The streamlining of business units at PT PLN (Persero) will continue in the coming years. The government is targeting a reduction to just 23 entities by 2028, down from the current 44 entities. Dony Oskaria, Head of the State-Owned Enterprise Supervisory Board and COO of Danantara Indonesia, held a meeting with the PLN Board of Directors on Tuesday (2/6) to discuss the PLN Group streamlining programme through consolidation, divestment, business portfolio restructuring, and simplification of the business structure. By 2028, PLN targets trimming its business entities from 44 to 23 entities to enhance operational efficiency, strengthen corporate governance, and create a more focused and integrated business structure. “Accelerating transformation and strengthening the reliability of the electricity system are key for PLN to more effectively support national energy security,” Dony stated on Wednesday (3/6). In addition to corporate transformation, PLN also reported positive progress on the implementation of the 2025–2034 Electricity Supply Business Plan (RUPTL). Of the total planned projects, approximately 1,634 projects, or nearly 40%, have entered the execution phase. This achievement reflects PLN’s commitment to accelerating the development of national electricity infrastructure, from building power plants and transmission networks to substations, to meet the continuously rising energy demand. The discussions also highlighted measures to reinforce the electricity system following disturbances in Sumatra. PLN continues to evaluate and strengthen the system to improve the reliability of electricity supply. Several strategic projects are being prepared, including reinforcing the Sumatra electricity backbone infrastructure, building 500 kV, 275 kV, and 150 kV transmission networks, and adding generation capacity across various regions to bolster system resilience and minimise future disruption risks. Through sustainable corporate transformation, accelerated RUPTL implementation, and strengthening of the national electricity system, PLN is expected to be better prepared to fulfil its role as a reliable national electricity provider while supporting Indonesia’s economic growth, investment, and energy transition agenda.

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