Bali’s waste management issues have hit international headlines multiple times over the years, but now the island has been given a timeframe to make a massive transition to improve waste management once and for all.
The call to ensure that the island’s Waste-to-Energy Project is fully operational within the next year and a half came from Chairman of the National Economic Council (DEN) Luhut Binsar Panjaitan during his most recent visit.
The Chairman of the National Economic Council (DEN), Luhut Binsar Panjaitan, visited Bali’s Governor Wayan Koster to discuss a series of huge infrastructural changes that need to be implemented on the island.
During his public statement following a series of meetings, Panjaitan emphasized the need to accelerate improvements to Bali’s tourism infrastructure and governance, following the results of a World Bank study that identified Bali as the most important tourism destination in Indonesia.
With this in mind, infrastructure, including transportation, as well as clean water and waste management, are amongst the most pressing issues.
He confirmed that the World Bank study was conducted while he was still serving as Coordinating Minister for Maritime Affairs and Investment under the previous government. He requested that the World Bank examine tourism development in Bali, Labuan Bajo, and Mandalika in Lombok.
The results highlighted that one of Bali’s main challenges is basic infrastructure, which urgently needs to be strengthened for both local communities and the more than 7 million annual international tourists.
Panjaitan told reporters, “The problem is indeed infrastructure. I’ve already reported this to the Governor, so it must be addressed expeditiously and integrated, including on water and waste management.” He specifically referenced the long-awaited Waste-to-Energy Program, which he confirmed will be detailed further in an official announcement that will be made soon. He revealed that he is targeting the waste-to-energy process in Bali to begin within 18 months, starting in April 2026.
He stated clearly, “Regarding waste, I think an announcement will be made next week. We hope that within 18 months from April (2026), Bali will have started its waste-to-energy process.”
Panjaitan also drew attention to the need to level up both physical and digital infrastructure across the province. Improvements to digital infrastructure will help local livelihoods and increase accountability and traceability in development projects, most notably the conversion of agricultural land to tourism properties and luxury residential developments.
He explained, “With digitalization, public order and land conversion will no longer be subject to manipulation. And what will happen next? Penalties might be the solution. So, from now on, we must remind those who are committing improper land conversions that there will be adjustments.”
At present, poor and inconsistent digital infrastructure has been cited as one of the main factors behind building violations going undetected. With licensing agencies not automatically communicating with one another, it is easy for developers to operate around loopholes and grey areas, exploiting the law undetected.
In his closing statements, Panjaitan spoke to the need to establish higher quality across the board in the Bali tourism sector.
He noted that Bali must be orderly. We already coordinated with the Coordinating Minister for Maritime Affairs and Investment to deport unqualified tourists from here. Those who cause drug problems, fights, and investment people who take MSME investments here, we should deport them.”
He suggested that Bali policymakers should not be fearful to implement the rules strictly and unapologetically, sharing, “Even if we reduce the number of tourists by another 10,000, it won’t be a problem for Bali. Bali is loved by people, so let quality tourists come to Bali.”
For tourists visiting Bali in the next few months, these calls to action from Panjaitan will not make much difference to their vacation.
In the long run, however, these upgrades will benefit both local people and tourists, as the island is set to operate more efficiently, with a greater focus on sustainable development and high-quality tourism experiences.
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