Community Power Plant Operator Faces Blackout Dilemma as PLN Contract Expires
Translated from Indonesian, summarized and contextualized by DistantNews.
At a glance
- A community cooperative in East Sumba, Indonesia, faces financial ruin as its power purchase agreement with state electricity company PLN expired in 2023 without renewal.
- The cooperative manages the Mbakuhau micro-hydro power plant, which has supplied electricity to Kamanggih village since 2011 and partnered with PLN since 2013.
- Cooperative leader Umbu Hinggu Panjanji expressed distress over the expired contract, which has halted revenue, but stated they cannot cut off power to residents.
For three years, Umbu Hinggu Panjanji has grappled with a difficult situation. The turbine at the Mbakuhau micro-hydro power plant (PLTMH), managed by the Jasa Peduli Kasih Multipurpose Cooperative (KSU), continues to provide electricity to Kamanggih village in East Sumba. However, the power purchase agreement between the cooperative and the state electricity company, Perusahaan Listrik Negara (PLN), expired in 2023, leaving its extension uncertain.
This expired contract has halted revenue for the cooperative, led by Hinggu Panjanji, jeopardizing the operations of this small-scale community electricity provider. "But we cannot possibly cut off the electricity because we feel sorry for the people there; they would certainly be left in the dark," Hinggu stated on Thursday, July 2, 2026.
For over a decade, KSU Jasa Peduli Kasih has been recognized as a successful model of community-based renewable energy management. They established and have operated the Mbakuhau micro-hydro plant since 2011, bringing power to the hamlets of Unggurundi and Manggawuru in Kamanggih, areas previously without access to PLNโs grid. The turbine, powered by the Mbakuhau River's flow, generates up to 37 kilowatts, sufficient for the village's electricity needs.
Since 2013, the Mbakuhau plant's distribution network has been integrated with PLNโs system, marking KSU Jasa Peduli Kasih as one of the few communities to successfully partner with the state-owned power company. This power purchase cooperation was mutually beneficial, providing a stable arrangement for both parties until its recent expiration.
But we cannot possibly cut off the electricity because we feel sorry for the people there; they would certainly be left in the dark.
Originally published by Tempo in Indonesian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.