Report of the Board of Directors

Dear Shareholders Many challenges in 2019, your company continues to achieve the goals we set since we went public in May 2017. Before I discuss our plans for 2020, let me talk about some of Terregra's achievements last year. Indonesia is our home and our future. Our focus here remains on successfully building the first public renewable generation company; not only the first listed on the IDX, but the first in all of Southeast Asia.

Our Australian subsidiary, Terregra Renewable Pty Ltd. in early 2018, it focused on developing the scale of SPVP utilities that were installed on the ground. Although our presence in Australia is still very new, we have made good strides to achieve our goal in the market to develop, build,own and operate a small but significant SPVP fleet. Our goal is to mobilize capital profitably in that market and to develop an independent business. We started receiving revenue from our Australian business in mid-2019

Highlights for 2019 are :

  • Signing of the Sales Purchase Agreement by Mitsui and Yonden
  • The solar powerplant project in Australia has been completed.
  • Continue to develop Batang Toru 3 and Sisira

We are pleased with the progress of our Indonesia and Australia hydroelectric projects. Because the construction of a hydropower plant is along process, we will not achieve COD on our first project in Batang-Toru 3 until 2020. However, other projects will be completed shortly after Batang-Toru 3 and we hope to see revenue from these projects before the end of 2022.

As you know, the root of Terregra is in the business of providing O&M parts and services to PLN. This business continues to be an importantcontributor to the company, especially since we are still in the investment stage for our MHPP and SVPP. This activity will continue to contribute a large part of our 2020 turnover.

Thank you for your continuing confidence in the Management of your company and in Terregra's mission to become a leading generator of renewable power for our country and an important contributor to Indonesias sustainable, green future.

Djani Sutedja

President Director