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Home GREEN ENERGY

USD 6 Billion Investment: Danantara to Launch Six Downstream and Waste-to-Energy Projects

by Editor Asiatoday
January 6, 2026
in GREEN ENERGY
Reading Time: 3 mins read
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IEU-CEPA Action: Danantara–Eramet Strengthen Nickel Downstreaming Partnership in Indonesia

Indonesia’s Sovereign Wealth Fund Daya Anagata Nusantara (BPI Danantara) headquarters. Special

ASIATODAY.ID, JAKARTA – The Indonesian government is accelerating its ambitious economic transformation agenda as the Daya Anagata Nusantara Investment Management Agency (BPI Danantara) prepares to launch six strategic projects spanning industrial downstreaming and waste-to-energy (WTE), with a total investment value of USD 6 billion, equivalent to approximately IDR 100 trillion.

The plan was discussed during a high-level meeting between President Prabowo Subianto and Danantara Head as well as Minister of Investment and Downstream Industries Rosan Roeslani, held at the president’s private residence in Hambalang, Bogor, on Sunday, January 4, 2026.

Cabinet Secretary Teddy Indra Wijaya said the meeting focused on accelerating priority projects that are expected to become new engines of value-added growth and sustainable development.

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“On Sunday afternoon, President Prabowo received the Head of Danantara and Minister of Investment and Downstream Industries, Rosan Roeslani, at his private residence in Hambalang, Bogor,” Teddy said in an official statement.

Five Downstream Projects Set for Groundbreaking

One of the key topics discussed was the progress of five downstream industrial projects under Danantara’s management, all of which are scheduled to begin groundbreaking in early February 2026.

“The meeting addressed three main points, including updates on five downstream projects that will break ground early next month,” Teddy explained.

These projects will be located across several strategic provinces and are designed to process Indonesia’s natural resources domestically rather than exporting them in raw form.

The downstreaming strategy is aimed at: increasing domestic value creation, strengthening national economic resilience, and generating high-quality employment opportunities.

According to projections from the Ministry of Investment, each large-scale downstream project could create 8,000 to 15,000 direct and indirect jobs, while also stimulating the growth of local small and medium-sized enterprises around industrial zones.

Waste-to-Energy Project Targets Indonesia’s Garbage Crisis

In addition to downstreaming, the government is prioritizing a Waste-to-Energy (WTE) project, which forms the sixth initiative discussed in the meeting.

“The Waste-to-Energy project focuses on improving waste management, reducing open landfill volumes, and delivering tangible economic benefits,” Teddy said.

Indonesia currently generates more than 68 million tons of waste annually, with a significant portion ending up in open dumping sites. Through WTE technology, urban waste can be converted into electricity and alternative fuels, helping reduce greenhouse gas emissions while supporting energy diversification.

Economically, a medium-scale WTE facility is estimated to: generate 10–20 megawatts of electricity, reduce landfill waste volumes by up to 70 percent, and support the development of a circular economy.

Prabowo’s Strategic Vision: Downstreaming and Green Growth

The meeting underscores President Prabowo Subianto’s broader strategy to position industrial downstreaming, strategic investment, and green economic development as the cornerstones of Indonesia’s long-term growth.

Through Danantara, the government aims to ensure that investments are not only large in scale but also: environmentally sustainable,
regionally inclusive, and socially impactful.

With USD 6 billion in capital deployment beginning in early 2026, Danantara is expected to emerge as a key driver of Indonesia’s economic transformation, reinforcing the country’s role in global value chains tied to clean energy, resource processing, and sustainable industry. (ATN)

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Tags: Asia Green GrowthDanantara Sovereign FundGreen Investmen
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