Indonesia eyes foreign investment boost in waste-to-energy sector
Alongside foreign investment, Indonesia’s sovereign wealth fund Danantara is also expected to play a key role in supporting the development of WtE projects, given their financial viability.
A worker is seen near a machine that processes waste into electricity in Solo, Central Java, on June 28, 2022. (Photo: ANTARA)
Jakarta (VNA)ꦏ - Waste-to-energy (WtE) processing businesses in Indonesia are attracting strong interest from foreign investors, particularly from Singapore, Japan, China, and several European countries, according to Coordinating Minister for Food Affairs Zulkifli Hasan.
In response to this growing demand, the Indonesian government is working to simplify regulations and promote ease of doing business, especially in areas involving capital and technology.
Alongside foreign investment, Indonesia’s sovereign wealth fund Danantara is also expected to play a key role in supporting the development of WtE projects, given their financial viability.
To accelerate WtE development, the country plans to streamline the licensing process for converting waste into electricity, addressing a major hurdle for potential investors.
Currently, according to Hasan, permits for waste processing must pass through multiple ministries, state agencies, and local governments, making the process burdensome and time-consuming.
As part of these reforms, the Indonesian government is working to merge three existing presidential regulations into a unified policy that supports WtE development using environmentally friendly technologies./.
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