In a significant move for Indonesia’s clean energy shift, reNIKOLA Holdings Sdn Bhd, through its subsidiary PT reNIKOLA Primer Energi (PT RPE), has signed an agreement with PT Pertamina Gas (Pertagas) to jointly develop biogas projects across Sumatra and Kalimantan, reports Business Today.
The agreement marks a key step in Indonesia’s efforts to increase the use of clean energy.
The collaboration aims to accelerate the adoption of renewable energy by using organic waste — especially palm oil mill effluent — as a source for producing biogas.
“This partnership represents a major milestone in developing a green economy based on local resources. Our goal is to speed up biomethane projects that will benefit rural communities and palm oil-producing areas,” said Dr Mohd Amran Mohd Yusof, Director and CEO of PT RPE.
Pertagas President Director Gamal Imam Santoso noted the important role biogas can play in diversifying Indonesia’s energy sources. “With Pertagas’s infrastructure and reNIKOLA’s experience in renewable energy, we believe this partnership can make a real difference,” he said.
The MoU outlines plans for integrated development, covering biogas production, purification, and distribution. The companies also hope to connect the new biogas systems with Pertagas’s national gas network.
Despite some challenges — such as ensuring a stable supply of waste feedstock and addressing decentralised waste sources — both companies remain confident. They believe strong cooperation and support from all involved parties will help move the projects forward.
“This partnership can become a model for wider renewable energy efforts in Indonesia, combining technology, infrastructure, and sustainability for lasting impact,” Santoso added.