Indonesia Targets 100% Waste Management by 2029 Amidst Funding and Execution Hurdles

Indonesia has set an ambitious target: to achieve 100% waste management by 2029. However, as highlighted by experts like Mohammad Bijaksana Junerosano, CEO of Waste4Change, the real battle lies not in planning but in execution. The current approach, despite a seemingly impressive national plan (RPJMN), is falling short, primarily due to critical limitations in funding and weak governance at the local level.

“

The government already has a cool RPJMN, 100 percent waste managed by 2029, so there is a very ambitious target and a short timeframe of less than five years.

Junerosano points out that waste management consistently loses out on budget allocations within regional budgets (APBD) compared to sectors like education and health. This chronic underfunding directly impedes the development of necessary infrastructure and the consistent delivery of waste management services across the archipelago's 514 cities and regencies. While technological solutions like waste-to-energy plants are being considered, they represent only a fraction of the solution, addressing just 23% of the waste problem, leaving a massive 77% unaddressed.

“

The challenge is not in the planning, but in the execution in the field.

The scale of the financial challenge is immense. Estimates suggest an investment need of Rp 146 trillion to Rp 186 trillion for infrastructure, coupled with annual operational costs ranging from Rp 48 trillion to Rp 56 trillion. Regional budgets are only capable of covering about 20-30% of these needs. This stark funding gap necessitates innovative financing mechanisms beyond traditional government allocations.

“

So building 34 WTE facilities only solves 23 percent (of waste). The question is what about the remaining 77 percent? Well, we need other solutions.

To bridge this divide, Junerosano advocates for a multi-pronged approach. This includes leveraging circular economy principles, implementing Extended Producer Responsibility (EPR) schemes where producers take responsibility for their products' end-of-life, and improving the collection of waste management fees (retribusi). He emphasizes that efficient and transparent fee collection, potentially supplemented by government subsidies for vulnerable populations, could significantly improve the situation. The principle of 'polluter pays' is central, with an estimated monthly fee of around Rp 60,000 per household deemed sufficient to establish an effective system. Furthermore, strengthening institutional frameworks through state-owned enterprises (BUMD), cooperatives, and private sector partnerships, alongside accessing national and international financing, is crucial for building a sustainable waste management ecosystem.

“

If the retribution can be collected well, transparently, and without leakage, the waste problem can be solved. If there are people who cannot afford it, the government can provide subsidies.