The Government of Indonesia has announced plans to build waste-to-energy (WTE) plants in 30 cities to address waste management challenges and promote renewable energy. The initiative aims to improve waste processing efficiency and reduce environmental pollution. The government estimates that Indonesia generated 69.9 million tons of waste in 2023, with food waste comprising 41.6%. Currently, a significant portion of waste is either incinerated or landfilled, leading to high methane emissions. The new WTE plants will generate 20 MW of power per city, with implementation beginning in 2029.
The government is drafting a new presidential regulation to define WTE technologies, including pyrolysis for plastic waste conversion and biogas generation from organic waste. Authorities are also considering taxation on WTE developers processing more than 1,000 tons of waste per day. To encourage private investment, the Ministry of Public Works plans to streamline regulations and adjust electricity tariffs. Public-Private Partnerships (PPP) will be used to finance future projects, reducing reliance on government funding.
