Indonesia has started construction of a new waste-to-energy facility in Bekasi, West Java, with an investment value of around IDR 3 trillion. The facility is designed to process up to 1,500 tonnes of municipal waste per day and generate electricity for the local grid, with operations targeted to begin in mid-2028.
Danantara Indonesia, through PT Danantara Investment Management (DIM) and PT Daya Energi Bersih Nusantara (Denera), inaugurated construction of the facility on 26 August 2026 in Ciketing Udik, Bantar Gebang, Bekasi City. The Bekasi facility is the second project under the current national Pengolahan Sampah menjadi Energi Listrik (PSEL) programme to enter construction, following the start of the Denpasar Raya project in July.
The project will have a net electricity generation capacity of 27.4 MW and is expected to produce around 223,584 MWh per year. According to state-owned electricity company PT PLN, this would be equivalent to the annual electricity consumption of around 55,000 households, based on the average consumption of 450-VA residential customers.
PLN will purchase the electricity generated by the facility under a power purchase agreement with the project developer and operator. The purchase price has been set at USD 0.20 per kWh for all capacity under the programme, with the electricity from the Bekasi facility to be distributed through the local grid. PLN President Director Darmawan Prasodjo said that waste treatment remains the primary purpose of the facility. “The main product is not electricity, but a clean environment,” he said, as quoted by ANTARA.
The plant will use a moving-grate incinerator combined with a layered Air Pollution Control System (APCS). Danantara states that the facility’s environmental specifications refer to international emission standards under the European Union Industrial Emissions Directive (EU IED).
The EU IED reference places European emission requirements among the technical benchmarks for the project. The regulation covers emissions from major industrial installations and sets requirements related to pollution prevention and control. For the Bekasi facility, Danantara has already selected its development and operating structure, with Bekasi Environment Nusantara listed as the project development and operating company.
Danantara estimates that the facility could reduce the need for landfill space by around 90% and cut greenhouse-gas emissions by approximately 640,000 tonnes of CO₂ equivalent per year. The project is also expected to create up to 1,000 jobs during its development and operation.
The Bekasi project forms part of Indonesia's updated regulatory framework for urban waste management. Presidential Regulation No. 109/2025, which entered into force on 10 October 2025, provides the framework for processing municipal waste into renewable energy using environmentally friendly technologies. The regulation covers technologies capable of converting waste into electricity, bioenergy, renewable fuels and other products while reducing waste volumes. It replaced the previous framework under Presidential Regulation No. 35/2018.
The regulation was introduced against the backdrop of Indonesia's continuing waste-management challenge. According to the regulation, Indonesia generated 56.63 million tonnes of waste in 2023, while 39.01% was managed through the national waste-management system and 60.99% remained unmanaged, including through open dumping.
Bekasi is among the urban areas where the government is advancing waste-to-energy infrastructure under the new framework. The city is part of the densely populated Greater Jakarta region and generates waste volumes above the processing capacity planned for the new facility, meaning other waste-management measures will continue alongside the PSEL project.
The project is also designated as a National Strategic Project (PSN). Under the national PSEL programme, Danantara is coordinating project development, investment governance and technology partners as the government expands waste-processing infrastructure to additional cities.
The Bekasi facility is scheduled to begin operations in mid-2028, at which point PLN is expected to begin receiving electricity from the plant under the agreed power purchase arrangement.
