Indonesia’s waste-to-energy (WTE) initiative, championed by State investment management agency BPI Danantara and backed by Patriot Bonds funding, has ignited a rally in several waste management-related stocks on the local exchange.
Most recently, Danantara CEO Rosan P. Roeslani announced that the company will begin launching waste-to-energy power plant (PSEL) projects in 10 cities starting November 2025.
Rosan made the announcement at the Indonesia International Sustainability (ISS) Forum 2025 in Jakarta on Friday, October 10, 2025 adding that the initiative has already attracted strong investor interest.
“I was informed that as many as 192 companies have already registered to participate in the WTE program,” Rosan said, as quoted by Bisnis Indonesia.
He further estimated that the total funding value of the nationwide WTE projects − targeting 33 locations across Indonesia − could reach Rp91 trillion (US$5.4 billion).
The announcement triggered bullish sentiment in the capital market, boosting the share prices of companies engaged in waste management and renewable energy transition.
One notable gainer is PT Multi Hanna Kreasi Indo (MHKI), a hazardous and toxic waste management firm that operates wastewater treatment and incineration facilities.
After trading below Rp100 during the first four months of 2025, MHKI’s shares have surged to Rp268 as of Friday, October 10, 2025 − up 182.11 percent since the start of the year.
A similar trend was seen with PT Maharaksa Biru Energi (OASA), owned by Bobby Gafur Sulistyo Umar, which focuses on waste-to-energy projects through its subsidiary PT Indoplas Energi Hijau.
OASA’s shares, which never closed above Rp150 until early June, doubled to Rp300 by the end of last week − a 109.8 percent year-to-date increase.
Meanwhile, PT TBS Energi Utama (TOBA) − traditionally a coal and palm oil player − has been diversifying into waste processing since 2023, beginning with the acquisition of Asia Medical Enviro Services (AMES) and ARAH Environmental Indonesia (ARAH).
In March 2025, TOBA expanded further by acquiring Singapore-based Sembcorp Environment Pte. Ltd.. The stock, which traded below Rp500 until early June, has since rallied steadily to Rp1,355, marking a 233.7 percent jump this year.
From a financial perspective, however, data from IDNFinancials.com shows that only MHKI has consistently posted net profit growth in both 2024 and the first half of 2025.
Despite the rally, valuations across the three companies remain elevated. MHKI has the lowest Price-to-Book Value (PBV) at 1.05x, followed by OASA at 2.16x, and TOBA at 2.36x.
The WTE momentum reflects growing investor optimism toward Indonesia’s green energy transition and the expanding role of waste management as a viable industrial and financial sector.
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