Indonesia's sovereign wealth fund Danantara has signed memoranda of understanding with a series of regional governments to advance waste-to-energy plant development across six locations: Lampung, Serang, Medan, Semarang, Bogor-Depok and Bekasi.
The agreements, announced by Coordinating Minister for Food Affairs Zulkifli Hasan in Jakarta, reflect a joint commitment between central government, regional administrations and Danantara to tackle mounting urban waste problems.
The initiative targets regions generating more than 1,000 tonnes of waste per day, with the broader government programme aiming to develop facilities across 25 locations covering 62 districts and cities facing waste emergencies.
The scale of the problem was underlined by the minister, who noted that some waste accumulations had reached the equivalent height of a 14 to 15-storey building, polluting soil, water and air and posing risks to public health. The stated ambition is to convert waste into clean energy and electricity with no odour or toxic emissions.
Half of the planned projects are targeted for completion in 2027, with the remainder expected to follow by May 2028. Danantara's chief investment officer indicated that total fundraising requirements for the programme could reach US$5 billion.
The programme has a presidential regulation as its legal basis and has been progressing since Danantara launched the tender process in November 2025. Winners were announced for three initial locations — Greater Denpasar, Bekasi City and Greater Bogor — in early March 2026, with cooperation agreements signed in late April. Jakarta's provincial government signed a separate agreement with Danantara on 4 May.
Indonesia’s Danantara accelerates waste-to-energy rollout with six new agreements
