Coal corruption probe linked to blackouts, Rp 5 trillion in state losses

Indonesia's anti-corruption police are investigating a suspected corruption and money laundering scheme involving the procurement of coal for state-owned power plants. The alleged wrongdoing, spanning from 2018 to 2026, is believed to have triggered power outages in several regions and caused substantial financial losses.

Brigadier General Robertus Yohanes De Deo, Director of Enforcement at the Corruption Eradication Commission (Kortastipidkor) of the National Police, stated that the estimated state losses amount to approximately Rp 5 trillion. This figure includes direct financial losses and economic damages resulting from the power blackouts.

The investigation, which was elevated to the penyidikan stage on July 4, 2026, involves reviewing documents, interviewing parties, and conducting initial evidence analysis. Investigators are working with the Supreme Audit Agency (BPK) to conduct an investigative audit to ascertain the precise financial impact. Three alleged modus operandi have been identified: manipulation of coal quality documents, falsification of coal quantity records, and discrepancies in payments or contract values not reflecting actual conditions.

These alleged irregularities have disrupted coal supply, leading to blackouts in Sumatra, parts of Kalimantan, Central Java, East Java, and the Greater Jakarta area. The police are applying relevant articles from the Corruption Eradication Law and the Prevention and Eradication of Money Laundering Law. No suspects have been named yet.