Chairman and Owner of ALBA Group Asia, Mr. Axel Schweitzer, said the investment was made to support Indonesia’s goal of reducing plastic leakage to the ocean by 70% by 2025 and then further on to near-zero percent by 2040.
“Our project will increase food-grade rPET [Recycled Polyethylene Terephthalate] production capacity in Indonesia and contribute to the creation of a circular economy for plastics,” Mr. Schweitzer said at the groundbreaking event for the plant in KIP on Tuesday, June 6, 2023.
Over 8 million tons of plastic waste end up in the ocean every year, out of which Indonesia is a global top contributor with an estimated 600,000 tons, according to the Indonesian Institute of Sciences.
For the construction of the waste-processing plant, ALBA Group Asia has partnered with Tridi Oasis Group, a recycling company based in Tangerang, Banten, just west of Indonesia’s capital city of Jakarta.
Under the company name PT Alba Tridi Plastics Recycling Indonesia, the plant is set to be equipped with state-of-the-art facilities with a capacity to process 48,000 tons of polyethylene terephthalate (PET) bottles per year and produce 36,000 tons of food-grade rPET pellets annually. The technology will be leveraged by ALBA’s Interzero brand.
Dian Kurniawati, Director of PT Alba Tridi Plastics Recycling Indonesia and Founder of PT Tridi Oasis Group, said the facility was targeted for operations in 2025.
“This factory is not only how you can have economic growth, but also how you can solve social problems. We hope to gain more knowledge on how to handle the waste problem in Kendal,” said Ms. Kurniawati.
The Asian Development Bank (ADB) and the Leading Asia’s Private Infrastructure Fund (LEAP) provided the $44.2 million “blue loan” for the construction of the factory. Blue loans are financing instruments that aim to safeguard access to clean water and protect underwater environments.
Also in attendance at the event were Kendal Regent Dico M. Ganinduto, Assistant for Economics & Development at the Central Java Provincial Government Dr. Sujarwanto Dwiatmoko, Regional Director III Unit Deputy of Investment Control and Implementation Sri Moertiningrum, and Director of Private Sector Operations at Asian Development Bank Jackie Surtani.