Report of the Board of Directors

Dear, Shareholders and Stakeholders,

Praise and gratitude to the presence of God Almighty for the grace and wisdom that always overshadows all of us and for the health that has been given to us all in the midst of the covid-19 pandemic which until now has begun to subside, and especially for His participation and guidance so that the company can still get through 2021.

Business Performance 2021

The year 2021 has quite a tough challenge for the company. Covid-19 which affects economic and industrial conditions globally and nationally has an impact on the energy industry.

Facing these challenges, the company has implemented it in various strategic steps by prioritizing the implementation of appropriate and consistent health protocols to support the sustainability of the core business and strengthen the financial structure in line with the company's commitment to always grow and provide positive value to the stakeholders. ng shares and stakeholders. However, overall in the midst of the pandemic, the Ministry of Energy and Mineral Resources recorded that electricity consumption per capita throughout 2021 rose to 1,123 kWh / capita from the previous in 2020 of 1,089 kWh / capita. In 2022, the Ministry of Energy and Mineral Resources projects electricity consumption per capita to rise significantly compared to last year to 1,268 kWh / capita.

Throughout 2021, esdm sector investment showed improvement. Recorded realization reached US$ 28.2 billion or 107% from 2020. The details of this investment are from the oil and gas subsector contributing the largest investment worth US$ 15.9 billion. Followed by the electricity subsector of US$ 6.8 billion, miners of US$ 4.1 billion and EBTKE of US$ 1.4 billion. Seeing this achievement, the government has set an investment target for the ESDM sector in 2022 which is targeted to reach US$ 32.6 billion.

In running the business in 2021, the Board of Directors does not neglect the implementation of health protocols and is always consistent in carrying out work activities during the Covid-19 pandemic. This is in line with the management's efforts to maintain the continuity of the company's operations and accelerate the due diligence process carried out by strategic investors on the company's projects which were carried out from April 2021 to early 2022.

The Board of Directors implements 2 (two) strategies during 2021, namely: firstly increasing revenue from power plant maintenance services through joint operations (KSO) and Non-KSO with the company's Business Partners which has been preceded by the signing of Operational Cooperation (KSO) in 2019 for the period 2019-2022. The total value of KSO reached Rp49 billion. The realization of KSO in 2021 is Rp10.67 billion and Non KSO is Rp28.02 billion, so that the total revenue from generator maintenance services in 2021 reaches Rp38.69 billion or an increase of 211.34% compared to the same period in 2020, namely Rp12.43 billion, thus contributing to the increase in Net Profit for the period 2021 to reach Rp7.93billion or an increase of 69.80% compared to the same period in 2020 which amounted to Rp4.67billion.

The second strategy is to accelerate the completion of due diligence on company projects carried out by strategic partners involving International Legal Consultants and their affiliates in Indonesia and Investor Teams from abroad. This due diligence was carried out after the Investor Team and company management agreed on the resulting term-sheet which included project performance targets based on the Power Purchase Agreement signed between the company as the “seller” and PT PLN (Persero). as a “buyer”; Initial Investment Value that has been spent by the company, Estimated Investment Value for project completion, financing schemes, estimated loan interest rates, and loan terms. The agreement, which is stated in the project termsheet, was signed in April 2021.

The completion of the due diligence by the Legal Consultant and the Investor Team was achieved in August 2021 when the Share Subscription Agreement (SSA) and Development Loan Agreement (DLA) were signed in early 2022. Certainty regarding the realization of financing from the company's strategic partners was realized by the issuance of the Implementation Guarantee for PLTM Batang Toru-4 with a value of Rp23.11 billion with counter guarantee funds from strategic partners.

The company's management and strategic partners are targeting the ground breaking of 2 (two) PLTM projects to be carried out at the end of June 2022 and followed by a 3rd project the following month. The target for completion of the construction is 18- 24 months.


Management realizes that the distribution of dividends to shareholders cannot be carried out this year (2022), considering that the profit generated in the 2021 period is not sufficient for dividend distribution.

Stock Price

Management continues to strive so that the company's share price in the capital market does not decrease, thereby threatening the delisting of the capital market. Increasing the company's profitability and accelerating the development of hydro power plant projects are fundamental efforts to keep share prices at a reasonable price.

Corporate Planning 2022

The Company has a work plan for 2022 as follows:

  1. Appointment of Project Consultant Management who will represent the company in setting project work standards, supervising and testing the work of contractors and suppliers from 3 PLTM projects.
  2. Construction of 3 (three) PLTMs, namely PLTM Sisira with a capacity of 2x4.9 MW, PLTM Batang Toru-3 with a capacity of 2x5 MW, and PLTM Batang Toru-4 with a capacity of 2x5 MW, all of which are located in the Service Area of PT PLN (Persero) Region North Sumatra. This target can be set by considering the completion of due diligence by strategic partners who are investors for the three projects. This work program includes the turbine and mechanicalelectrical ordering activities required by the three projects.
  3. Reorganization of the Company's Head Office, and preparation of organization for each PLTM project.
  4. Recruiting prospective PLTM managers and operators as well as operational and administrative support employees for each PLTM.
  5. Conducting training for prospective new employees, both for the head office and for each project.
  6. Conduct a due diligence on PLTM Raisan Naga Timbul and Raisan Huta Dolok, each with a capacity of 2x3.5 MW and located in the Service Area of PT PLN (Persero) North Sumatra Region.
  7. Together with the Strategic Partners conducting research and preparations to fulfill the requirements of the Power Purchasing Agreement (PPA) with PT PLN, as well as preparations for the construction of the Teunom-2 and Teunom-3 hydropower plants, each with a capacity of 332 MW and 145 MW, which are located in Nanggroh Aceh Darussalam Province. The target for obtaining PPA and development of these 2 (two) projects is 2023.
  8. Conduct studies with strategic investors to take corporate actions on the Indonesia Stock Exchange, in order to increase the liquidity of outstanding shares and raise funds for financing projects that are in preparation for construction and subsequent projects. The draft Partnership Agreement with strategic partners has been discussed and prepared, the contents of which are planned to be implemented, including corporate actions on the stock exchange.
  9. Maintain and improve power plant maintenance services that have been running so far, in order to increase revenue while waiting for the completion of hydro power plant projects.
  10. Maintain the level of liquidity and solvency at a reasonable level in accordance with the company's needs and sound standards.


The achievement of performance in 2021, cannot be separated from the support and cooperation of many parties, especially the shareholders, who relentlessly and continuously support the realization of the company's vision and mission.

To conclude the 2021 report, allow us to express our deepest gratitude and deepest appreciation to all employees of the company for their dedication, loyalty and hard work in supporting the company's business targets and realization to grow well as it is today. We also thank all stakeholders, business partners, OJK, BEI, KSEI, Founders, Board of Commissioners, and all Shareholders for their support and cooperation so far.


Jakarta, June 25th 2022

Djani Sutedja
President Director