September 25, 2025 | 11:02 am

TEMPO.CO, Jakarta - The first phase of the Kayan hydropower plant will submerge two villages, damaging the environment and rife with conflicts of interest.
AFTER six years in limbo, the Kayan hydropower plant (PLTA) in North Kalimantan has been revived. The project, which almost lost its permit in the era of President Joko Widodo, was restarted after Hashim Djojohadikusumo, President Prabowo Subianto’s younger brother, joined the Kayan Hydro Energy construction consortium.
If the project continues, in the first stage, at least two villages in Peso, Bulungan, will be submerged and it will not produce electricity for another six years. Like the Kedung Ombo Reservoir tragedy in Central Java, the PLTA on the upstream section of the Kayan river, which will require a large reservoir, will displace settlements where the people of Peso, Long Pelban, and Long Bia have lived for hundreds of years.
The Kayan PLTA has been touted as the largest hydropower plant in Southeast Asia, with a planned capacity of 9 billion watts. The Energy and Mineral Resources Ministry has included it in the 2025-2034 Electricity Supply Business Plan. But like many other national strategic projects, the people affected have not been given any information. They have had no opportunity to speak about the advantages and disadvantages of the project’s impact.
As well as people being threatened with displacement, the Kayan River landscape will change drastically. Hydropower projects always change the landscape because they need huge dams to provide water to power turbines. The flow of water from the river will be diverted into this huge reservoir, despite it being a source of life for the local ecosystem.
The Kayan River flows 576 kilometers from Mount Ukeng into the Sulawesi Sea. The construction of the dam will reduce the water supply needed by people throughout the province. Although hydropower is categorized as renewable energy because the source will not run out, its construction will damage the environment and people’s social lives.
If it is calculated mathematically, the emissions produced by the PLTA project could exceed the reduction in carbon produced. The problem is more complicated because in many energy transition projects, the government is not transparent and never releases the data and calculations of carbon emissions used as the basis for the construction of low emission power plants.
As well as damaging the environment, the Kayan PLTA project contains conflicts of interest. Hashim, as well as being the brother of the President, who determines development policy, is a businessman who owns an industrial plantation forest concession near the location of the dam. In this position, Hashim will find it easier to realize the Kayan PLTA project and increase his business profits.
In other words, a state project paid out of public funds will provide huge profits for Hashim. He will be the first one to see the benefits: receiving electricity supplies for his industrial forest plantation as well as compensation for the land used for the construction of the dam and the electricity distribution network. On top of this, electricity from the Kayan PLTA will be supplied to the Tanah Kuning industrial park, some 200 kilometers away.
Conversely, the people and the forest ecosystem in north Kalimantan will be nothing more than spectators. They will watch their forests stripped and landscapes reshaped, with little power to defend their homes or environment. With very little information provided, they will be forced to accept this project. Once again, we will hear the old song of environmental damage in the name of development.
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