PRNewswire
Jakarta [Indonesia], October 6: PT Sarana Multi Infrastruktur (Persero) ("PT SMI" or "the Company") conducted site visit to East Java Province last week to observe the environmentally friendly projects and programs supported by the Company. On Thursday, October 2, PT SMI visited Ijen Geothermal Power Plant in Bondowoso Regency, East Java. President Director of PT SMI, Reynaldi Hermansjah, observed the operation of Ijen Geothermal Power Plant which delivers benefits to the community in the electricity sector. During this site visit, Reynaldi was also accompanied by the Head of the Corporate Secretary Division of PT SMI, Ramona Harimurti, Team Leader of the Sustainable Financing Division, Teddy Wardiana, as well as the Director & Chief Financial Officer of PT Medco Energi Internasional Tbk, Anthony R. Mathias, and the Director and Chief Financial Officer of PT Medco Power Indonesia, Myrta Sri Utami.
PT SMI finances the development of Ijen Geothermal Power Plant amounting to USD 144.9 million, or approximately IDR 2.35 trillion, equivalent to 65% of the total project value. In addition, PT SMI also supports strengthening cross-sector collaboration, including partnerships with international institutions such as the Agence Francaise de Developpement (AFD) through a blended finance scheme via SDG Indonesia One (SIO) platform. Besides AFD, other international donor institutions supporting this project are the Global Green Growth Institute (GGGI) and USAID SINAR, which both provide technical assistance.
PT SMI appreciates the mutual collaboration among all parties. "The Ijen Geothermal Power Plant project is a real example of synergy between development financing and a commitment to environmental preservation. We at PT SMI are always open to collaborate with various parties, including - in this project - with Medco, and also international partners like AFD (Agence Francaise de Developpement). We hope this strategic step will support the achievement of the government's Asta Cita, especially in the New and Renewable Energy sector," said Reynaldi.
Ijen Geothermal Power Plant was recently inaugurated by President Prabowo Subianto on June 26, 2025. This geothermal power plant is one of the strategic projects in the development of New and Renewable Energy in Indonesia. With an initial capacity of 35 Megawatts (MW), Ijen Geothermal Power Plant can support the Java-Bali Electricity System, benefiting over 80,000 households. The operation of Ijen Geothermal Power Plant supports the government's target to increase renewable energy mix from 9% to 23% by 2025, in accordance with the National Medium-Term Development Plan. Additionally, it aligns with Indonesia's goal of achieving Net Zero Emissions by 2060 or sooner, and with global commitments to address climate change. The operation of the jen Geothermal Power Plant has potentially contributing to avoid greenhouse gas emissions of 228,636 to 838,332 tCO₂e/year.
PT SMI's commitment for environmental sustainability is also demonstrated through its Corporate Social and Environmental Responsibility (TJSL) program. On Friday, October 3, PT SMI also visited "Omah Tukik" turtle conservation facility at Cemara Beach, Banyuwangi Regency. On that occasion, PT SMI and the local community also released 40 turtle hatchlings into the open sea. Through this program, PT SMI assists in the construction of sea turtle hatcheries, the revitalization of patrol boats, and the provision of maritime safety equipment. The results are evident in the hatching rate, which exceeds 90 percent, with 1,200 hatchlings released annually. This program also creates livelihood including tour guides, operators, and conservation site managers. A total of 500 local residents are also involved in various activities, from facility construction and marine safety training to education and sea turtle release, and community empowerment for vendors at the conservation site.
"Turtles are one of the important elements in maintaining the ecosystem and biodiversity. This is where PT SMI comes in to help with environmental conservation on the coast of Banyuwangi, through our TJSL program. Besides that, we also hope to increase local community welfare through this program," said Reynaldi.
Ijen Geothermal Power Plant project and Omah Tukik TJSL program reflect the Company's grand vision for building a sustainable Indonesia, where infrastructure progress, environmental preservation, and community welfare go hand in hand. PT SMI emphasizes that future development must be inclusive, environmentally friendly, and long-term oriented.
About PT Sarana Multi Infrastruktur (Persero) ("PT SMI")
PT Sarana Multi Infrastruktur (Persero) ("PT SMI"), established on February 26, 2009, is a State-Owned Enterprise under the coordination of the Ministry of Finance, in the form of a Non-Bank Financial Institution (LKBB). PT SMI plays a role and has a mandate as an agent of sustainable development. PT SMI has 3 business pillars, namely Commercial Financing, Public Financing, and Advisory Service and Project Development.
PT SMI has various functions and unique products/features to support the acceleration of infrastructure development, which not only serves as infrastructure financing but also as an enabler through the implementation of the Government and Business Entity Cooperation (KPBU) scheme involving various financial institutions, both private and multilateral. PT SMI actively supports the implementation of Public Private Partnership (PPP) and encourages the acceleration of infrastructure development in the regions through regional loan products.
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