The Risk of Stranded Assets from Plans to Build New CFPPs

15 October 2026

-

Admin CERAH

The Risk of Stranded Assets from Plans to Build New CFPPs

This study analyzes the financial viability and stranded asset risks of three delayed coal-fired power plant projects: Sumut-1, Jambi-1, and Jambi-2. The modeling results show that all three are very close to the economic viability threshold. Sumut-1 has not yet met the viability threshold, while Jambi-1 and Jambi-2 are only marginally viable. Even minor changes in coal prices, electricity rates, operational performance, and financing costs could render the projects unfeasible. This study emphasizes the importance of conducting a financial reevaluation, sensitivity analysis, and validation of actual data before proceeding with construction, in order to minimize investment risks and the potential for stranded assets during the energy transition.

Related article

Hari Bumi: Ketahui 10 Dampak Perubahan Iklim di Indonesia

Hari Bumi: Ketahui 10 Dampak Perubahan Iklim di Indonesia

22 April 2021

footer yayasan