Published on April 29, 2026, by Kontan
By Leni Wandira
KONTAN.CO.ID – JAKARTA. The government is accelerating the national downstreaming agenda by starting the second phase of construction on 13 projects, which will be held simultaneously in various regions. This step is part of a long-term roadmap that will continue into the next phase.
Danantara CEO Rosan Roeslani explained that this second phase is a continuation of the project that began earlier this year and serves as a foundation for further project expansion.
He stated that the groundbreaking ceremony was held simultaneously at 13 locations, forming part of the second phase, following the first phase that began at 11 locations in February 2026.
“Dear Mr. President, allow me to first report that this event will be held simultaneously at all 13 groundbreaking locations when the President inaugurates them. So, this construction will be carried out simultaneously,” he said during the groundbreaking ceremony for the Pertamina gasoline refinery in Cilacap, Central Java, Wednesday (April 29, 2026).
He stated that it had previously been announced that the implementation of this national downstreaming program was the second phase, following the first phase, which began on February 6, 2026, at 11 locations, including alumina smelters, bioavtur (aviation fuel), bioethanol, industrial salt processing, and integrated chicken farms.
“Continuing this momentum, we are moving on to the second phase of these 13 strategic national downstreaming projects, which will soon be inaugurated,” Rosan said.
He added that the downstreaming project pipeline does not stop at this stage. The government is currently preparing the next phase, which will significantly increase the number of projects.
“So, if we add that, there is still a third phase that we are planning, and currently, we have six national downstreaming projects. If all phases are implemented, the total will reach around 30 national downstreaming projects, which will continue to grow and develop. This is phase two, and God willing, we will soon implement phase three, followed by phase four and subsequent phases,” he continued.
Rosan emphasized that downstreaming is aimed at creating added value and broad economic impact, particularly in job creation and strengthening the domestic industry. He mentioned that ongoing projects have the potential to absorb hundreds of thousands of workers and strengthen the national industrial structure.
He also revealed that cross-ministerial coordination is ongoing to ensure project acceleration, including with the Ministry of Energy and Mineral Resources (ESDM) in its capacity as the director of the energy and resources sector.
“And we are constantly coordinating with the Minister of Energy and Mineral Resources and the Head of the Task Force to ensure these downstream projects are implemented immediately to create added value, create industry, and most importantly, create jobs,” he added.
These ongoing projects will create approximately 600,000 jobs. Furthermore, if we look at the projects already underway beyond the first and second phases, their value has reached approximately US$26 billion.
The groundbreaking ceremony featured five projects in the energy sector, including the construction of gasoline refineries in Cilacap and Dumai, which will strengthen energy security and reduce dependence on fuel imports.
He added that the construction of these refineries is projected to significantly reduce energy imports annually.
“The development of Cilacap and Dumai will reduce imports by approximately US$1.25 billion per year,” he explained.
In addition to the energy sector, the second phase of the project also covers the minerals and agriculture sectors, which are considered strategic for strengthening national economic independence and the domestic industrial supply chain.
Below is the list of 13 projects, part of the government’s second downstream phase.
1. Pertamina’s gasoline refineries in Dumai and Cilacap, with a total capacity of approximately 62,000 barrels per day (MBSD), are targeted to be operational by 2030 and capable of substituting approximately 2 million kiloliters of gasoline imports per year.
2. The fuel terminal in Palaran, East Kalimantan, has a capacity of approximately 37,000 kiloliters to strengthen national energy distribution, especially in eastern Indonesia.
3. The fuel terminal in Biak, Papua, has a capacity of approximately 46,000 kiloliters to improve energy supply reliability and reduce price disparities between regions.
4. The fuel terminal in Maumere, East Nusa Tenggara, has a capacity of approximately 70,000 kiloliters, which is targeted to begin operations earlier to support energy security in the eastern region.
5. The coal processing facility into dimethyl ether (DME) in Tanjung Enim, South Sumatra, has a capacity of approximately 1.4 million tons per year to substitute national LPG imports.
6. A nickel-based stainless steel manufacturing facility in Morowali, Central Sulawesi, with a production capacity of approximately 1.2 million tons per year aims to increase the added value of domestic minerals.
7. A carbon steel slab production facility in Cilegon, Banten, with a capacity of approximately 1.5 million tons per year, utilizing local iron ore to strengthen the national basic industry.
8. The development of an asphalt production ecosystem in Buton, targeted to increase production to 300,000 tons per year by 2030, aims to reduce dependence on asphalt imports.
9. A copper and gold downstream facility in Gresik, East Java, through the development of advanced products such as brass mills and precious metals, supports national strategic industries.
10. Palm oil processing in Sei Mangkei, North Sumatra, into oleofood and biodiesel products to increase the added value of commodities while supporting energy security.
11. A nutmeg processing facility in Central Maluku into oleoresins to increase the export value of spice commodities.
12. An integrated coconut processing facility in Central Maluku produces derivative products such as MCT, coconut flour, and activated carbon to expand export markets.
13. Development of an integrated agro-downstream ecosystem in Morowali to strengthen the supply chain of domestic resource-based industries.