Advancing Sustainable Waste Management: Bappenas and UNDP SIPA Host Discussion on RDF Business Models in Indonesia
On 28 August 2025, the Ministry of National Development Planning (Bappenas), in collaboration with the United Nations Development Programme (UNDP) Indonesia through the Sustainable Infrastructure Programme in Asia (SIPA), convened a multi-stakeholder discussion on the progress of the study on Refuse-Derived Fuel (RDF) business models and best practices in Indonesia. The event took place at Hotel Ashley Tanah Abang, Jakarta, bringing together representatives from government, industry, and development partners.
Towards Integrated and Sustainable Waste Management
Indonesia is facing increasing challenges in waste management due to rapid urbanization, rising consumption, and limited landfill capacity. To address this, the government has outlined ambitious targets in the National Medium-Term Development Plan (RPJMN) 2025–2029 and the National Long-Term Development Plan (RPJPN) 2025–2045. These targets include achieving 90% of waste processed through proper treatment facilities, with only 10% residual waste ending up in landfills by 2045.
Refuse-Derived Fuel (RDF) has been identified as a key pathway in supporting these national targets. RDF technology enables the conversion of municipal solid waste into alternative fuel for industries such as cement, power generation, and steel. This not only reduces the volume of waste but also supports Indonesia’s energy transition agenda by lowering dependency on fossil fuels.
Study on RDF Business Models and Best Practices
Through SIPA, UNDP and Bappenas are conducting a comprehensive study to document best practices from existing RDF facilities across five locations: Cilacap, Banyumas, Cimahi, Bogor, and Jakarta.
The study evaluates RDF implementation from multiple perspectives—technical, legal and institutional, financial, environmental, and occupational health and safety, as well as social and inclusivity aspects. The event served as a platform to share initial findings of the study led by PT Cagar Bentara Sakti (CBS), Collect inputs and recommendations from stakeholders on RDF implementation challenges and opportunities. also Explore viable business models tailored to local contexts across Indonesia.
Strengthening Collaboration for Sustainable Infrastructure
By facilitating open dialogue, the discussion underscored the importance of cross-sector collaboration—linking government agencies, local authorities, the private sector, and civil society. RDF implementation requires not only technological readiness but also robust policy frameworks, financing models, and active participation of local communities.
As highlighted in the Bappenas presentation, RDF is a crucial stepping stone towards integrated waste-to-energy pathways in Indonesia, aligning with the principles of low-carbon development and circular economy. With the roadmap extending towards 2045, the findings of this study are expected to guide national and local governments in scaling up sustainable waste management solutions.
