The WWF Indonesia Foundation and PT PLN (Persero) signed a Memorandum of Understanding (MoU) on Technical Assistance in Improving the Quality of Environmental and Social Standards for New and Renewable Energy Infrastructure Projects, in Yogyakarta on March 24, 2022. The MoU was signed by Lukas Adhyakso, Chief of Operations Officer of WWF Indonesia Foundation and Komang Parmita Executive Vice President Division of Health, Safety, Security and Environment (K3L) of PT PLN (Persero).

Due to Indonesia's target to become carbon neutral in the energy sector by 2060, the development of renewable energy is something that the government is currently pushing for. Through the 2021-2030 Electricity Supply Plan (RUPTL), PT PLN targets the development of several renewable energy-based power plants such as hydropower, wind, solar, and geothermal. Although renewable energy produces relatively lower greenhouse gas emissions compared to fossil energy use, the process carried out to produce it still has the potential to cause significant environmental and social impacts at the local level.

Environmental and social conflicts that occur can have implications for construction cost overruns due to delayed development projects, which can then reduce investor confidence. For this reason, renewable energy development requires an environmental and social safeguard plan to assess and manage these risks. In order to minimize or avoid the occurrence of negative impacts from renewable energy generation infrastructure development projects, especially those carried out on a large scale.

The signing of the Memorandum of Understanding is the first step of the partnership between WWF Indonesia Foundation and PT PLN in developing environmental and social standards for renewable energy infrastructure projects, which are in line with the principles of sustainable development. This partnership is part of the HSBC Energy Transition project, which is also conducted with the World Resources Institute (WRI) Indonesia. Through this project, WWF Indonesia Foundation will support PT PLN (Persero) in developing and implementing environmental and social safeguards and management systems to build sustainable renewable energy-based power plants.

WWF Indonesia Foundation will help PLN develop capacity building programs, studies, and policy recommendations on the implementation of environmental and social safeguards in renewable energy infrastructure projects, especially regarding biodiversity. The safeguards will be compiled and developed based on best management practices, and are expected to support and become a reference in the development of renewable energy by PT PLN. So that the development of new and renewable energy plants in the future is expected to run optimally, but at the same time still preserve the environment, ensure the welfare of the surrounding community, and also provide investment stability for investors.