Indonesia to Streamline Waste Management Permits to Attract Investors

2 weeks ago 7

March 19, 2025 | 04:27 pm

TEMPO.CO, Bekasi - The Coordinating Minister for Food Affairs, Zulkifli Hasan or Zulhas, said that the government is currently in the process of simplifying regulations on waste management permits. According to him, the inefficient process to obtain permits for waste processing makes it difficult for investors.

To date, investors must secure permits from the Regional Representative Council (DPRD), Regent or Mayor, and Governor, as well as the Ministry of Finance, before they can manage waste in Indonesia. 

"And that takes a considerable amount of time,” he said during his visit to the integrated waste processing site (TPST) Bantar Gebang, Bekasi, West Java, on Wednesday, March 19, 2025.

The complicated process has led many investors to withdraw their investment plans, he said, while illustrating that oftentimes, only two out of ten applicants will obtain the required permits.

Therefore, the government plans to consolidate three regulations on waste management into one Presidential Instruction.

These regulations include Presidential Decree Number 97 of 2017 concerning the policy and national strategy for household- and household-like waste management, Presidential Regulation Number 35 of 2018 concerning the acceleration of the development of waste processing installations into environmentally friendly technology-based electricity, and Presidential Regulation Number 83 of 2018 concerning oversea marine debris management.

In addition to streamlining administrative regulations, Zulhas stated that investors establishing Waste-to-Energy Power Plants (PLTSa) can also directly work with the state-owned electricity company, PT PLN, to sell the generated power.

"There will be no need for entrepreneurs to deal with local government, DPRD, or the Ministry of Finance, just go straight to the Ministry of Energy and Mineral Resources and secure direct contact with PLN,” he said.

He hopes that the simpler regulation will attract investors to build PLTSa in the country to solve waste problems in the country.

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