Friday, 19 June 2026

North Sumatra Explores Finland Partnership for Waste-to-Energy and Industrial Downstreaming

AHMAD ZULFIKAR SAGALA - Friday, 19 June 2026 06:00
North Sumatra Explores Finland Partnership for Waste-to-Energy and Industrial Downstreaming
PHOTO: North Sumatra Communications and Informatics Office
OFFICIAL WELCOME FOR FINNISH AMBASSADOR: Governor Bobby Nasution receives Finnish Ambassador Pekka Kaihilahti in Medan for discussions on PSEL and renewable energy cooperation.

MEDAN | INDATANEWS.COM - The Provincial Government of North Sumatra is advancing its strategic agenda in environmental management and sustainable energy development, exploring potential cooperation with Finland on waste-to-energy initiatives under the Electricity from Waste (PSEL) program.

North Sumatra Governor Muhammad Bobby Afif Nasution held discussions with Finnish Ambassador to Indonesia Pekka Kaihilahti during an official visit at the governor's office on the 10th floor of the provincial government building in Medan on Wednesday, June 17, 2026. The meeting focused on potential collaboration in waste-to-energy technology and broader efforts to strengthen the region's energy sector.

PSEL as a Solution to Waste and Energy Challenges

Governor Bobby emphasized the urgent need for concrete solutions to address the province's rapidly growing waste management issues, driven by population growth and economic expansion. He stressed that innovative technologies are essential to transform waste into a valuable energy resource.

Currently, North Sumatra operates a PSEL facility with a capacity of 15 megawatts (MW), serving Medan and the Deli Serdang region. The governor expressed hope that the project could become a model for similar facilities in other areas, including remote regions with limited access to energy infrastructure and waste management systems.

"We hope Finland can support this program, whether on a large scale or through smaller projects across different regions," Bobby said.

EXPANDING THE PSEL PROGRAM: Governor Bobby Nasution highlights the development of the PSEL initiative for sustainable waste processing and energy generation. (PHOTO: North Sumatra Communications and Informatics Office)

Finland's Modular Waste-to-Energy Technology

Ambassador Pekka Kaihilahti welcomed the initiative and reaffirmed Finland's readiness to contribute advanced waste-to-energy technologies. He noted that Finland has extensive experience in sustainable waste management, having reduced landfill dependency to around one percent.

Kaihilahti explained that Finland has developed modular waste-to-energy systems suitable for both small- and large-scale applications. The technology is particularly well-suited for island nations and geographically diverse regions such as Indonesia.

Finland also offers support in waste segregation systems, technology implementation, and public education to strengthen sustainable waste management practices.

MODULAR TECHNOLOGY PRESENTATION: Finnish Ambassador Pekka Kaihilahti introduces modular waste-to-energy systems suitable for various regions in North Sumatra. (PHOTO: North Sumatra Communications and Informatics Office)

Expanding Industrial Value Creation in North Sumatra

Beyond environmental and energy cooperation, Governor Bobby also highlighted opportunities for industrial downstreaming in North Sumatra. The province, with its abundant natural resources and strategic location along the Malacca Strait, has strong potential to become an industrial hub in western Indonesia.

The palm oil sector was identified as a key driver of regional economic growth, with significant opportunities for value-added processing to strengthen the local economy.

"We are very open to palm oil processing, as it is one of the biggest potentials in North Sumatra," Bobby stated.

The meeting was also attended by Deputy Governor Surya and several heads of regional government agencies. The discussions are expected to mark the beginning of stronger bilateral cooperation in environment, energy, and industrial development.

The North Sumatra Provincial Government reaffirmed its commitment to expanding international partnerships to develop innovative solutions for waste management and future energy needs. (IDNC)

REPORTER: Darmailawati | EDITOR: Fik Sagala

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