Indonesia: Chandra Asri, Perum Jasa Tirta II Forge Alliance for Renewables

PT Chandra Asri Pacific Tbk (Chandra Asri Group) and Perum Jasa Tirta II (PJT II) have signed a memorandum of understanding (MoU) aimed at fostering sustainable energy practices in Indonesia. This strategic collaboration seeks to harness the potential of renewable energy sources to power Chandra Asri Group’s CA-EDC plant, currently under construction. With a combined effort, the two entities are set to explore the feasibility of implementing solar and hydropower plants to meet the substantial electricity demand of the CA-EDC facility, estimated at 340 megawatts.

In line with Indonesia’s ambitious target of achieving net zero emissions by 2060, the MoU represents a pivotal step towards reducing the carbon footprint of industrial operations. By prioritizing the development of green energy solutions, Chandra Asri Group and PJT II aim to significantly mitigate environmental impact while contributing to the nation’s broader sustainability goals. Moreover, the collaborative effort extends beyond electricity generation, encompassing the exploration of clean water supply systems, further enhancing the environmental stewardship of the partnership.

The partnership between Chandra Asri Group and PJT II holds immense promise not only in terms of environmental sustainability but also in fostering economic growth and innovation. As Indonesia’s demand for caustic soda and ethylene dichloride products continues to rise, driven by various industries including alumina extraction, textile production, and construction, the CA-EDC plant stands as a vital contributor to meeting this demand sustainably. Additionally, with caustic soda being a critical component in electric vehicle (EV) battery production, the construction of the CA-EDC plant could position Indonesia favorably in the global EV supply chain, aligning with the increasing global shift towards electric mobility.

In essence, the collaborative efforts between Chandra Asri Group and PJT II signify a shared commitment to driving environmental responsibility and sustainable development in Indonesia’s industrial landscape. Through the exploration of renewable energy sources and the adoption of eco-friendly practices, the partnership not only addresses the immediate energy needs of the CA-EDC plant but also paves the way for a greener and more resilient future for the nation.