PT Chandra Asri Pacific of Chandra Asri Group, a leading chemical solutions and infrastructure company in Indonesia, has inked a memorandum of understanding (MoU) with State-owned water resource management company Perum Jasa Tirta II (PJT II).
The MoU focuses on conducting feasibility studies for harnessing the potential of green energy through the development of solar power plants (PLTS) and hydropower plants (PLTA).
The research aims to drive the implementation of renewable energy and support for Indonesia’s target of achieving net-zero emissions by 2060. The signing ceremony, held on Monday, April 1, 2024, in Jakarta, saw the participation of key figures including Edi Riva’i, Director of Legal, External Affairs, & Circular Economy at Chandra Asri Group; Ruly Aryawan, Director of Supply Chain at Chandra Asri Group; and Dikdik Permadi Yoffana, Director of Business Development at Perum Jasa Tirta II.
Edi Riva’i emphasized the significance of the collaboration between Chandra Asri Group and PJT II in supporting the development and operation of the chlor-alkali and ethylene dichloride (CA-EDC) plant, designed as a facility implementing green energy.
“As a growth partner for Indonesia, this feasibility study is also expected to create new business opportunities in the development of renewable energy to achieve sustainability,” he said.
Technically, the energy from PLTS and PLTA will be channeled to the world-scale CA-EDC plant currently being developed by Chandra Asri Group, with a total electricity capacity requirement of 340 MW.
The CA-EDC plant, currently under construction, will have a production capacity of over 400,000 tons of caustic soda and over 500,000 tons of ethylene dichloride per year.
Caustic soda serves as a crucial raw material for various industries in Indonesia, including alumina extraction, nickel, water treatment, textile production, paper, soap, and detergent manufacturing.
Similarly, ethylene dichloride is a vital component in the production of polyvinyl chloride (PVC), widely used in construction and packaging.
Dikdik Permadi Yoffana highlighted the vast potential of Perum Jasa Tirta II in the development of renewable energy to support the government’s target of achieving net-zero emissions by 2060.
This potential opens avenues for collaboration with private entities like Chandra Asri Group to promote the use of environmentally friendly energy in production processes.
Perum Jasa Tirta II, a state-owned enterprise managing water resources, caters to the water needs of communities and industries in West Java and Jakarta. PJT II also oversees the Jatiluhur Dam in Purwakarta and the Karian Dam in Lebak, Banten.
Beyond power generation, the study will explore the potential development of Clean Water Supply Systems (SPAB) in collaboration with Chandra Asri Group, reinforcing the commitment of both entities towards sustainable development and environmental stewardship.
