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Sumatra, Indonesia’s largest island, is covered by dense tropical forests that are home to countless plant and animal species. Its fertile soil is ideal for growing rice and other commodities such as coffee, cacao, cinnamon, and palm sugar. Despite this, new economic opportunities are limited by rudimentary infrastructure and poor electricity access – and growing energy demands threaten Sumatra’s unique natural ecosystems.
This grid-connected, run-of-river hydroelectric plant is located on the upper banks of the Musi River, near the port city of Bengkulu in Sumatra. Designed to utilise the natural flow of the river without the need for a large dam or reservoir, the plant harnesses the kinetic energy of fast-moving water to generate renewable electricity. By feeding clean power directly into the grid, it helps reduce dependence on fossil fuel-based energy sources, lowering carbon emissions and supporting Indonesia’s transition to a more sustainable energy system.
This project addresses issues in rural Sumatra such as poor electricity access and the lack of quality employment opportunities – as well as fostering sustainable economic development. The Musi River Hydro plant strives to create quality jobs and upskilling opportunities for locals in what has been traditionally a farming community. A portion of the project's revenue is aimed at reinvesting in, for instance: the local community; building an orphanage; constructing new roads and bridges; and a traditional marketplace – giving local farmers better access to their rice paddies and the opportunity to pursue additional income. The project also hopes to establish a reforestation program in the surrounding catchment area to safeguard the natural landscape.
To learn more about the Sustainable Development Goals verified by the standard for this project, please check the registry link.
