China Water Industry Group Limited (Stock code: 1129) reported that its indirect non-wholly owned subsidiary, PT Blondo Lestari Energi (PT Blondo), entered into a cooperation agreement with the Semarang Regency Government in Indonesia to establish and manage a waste processing system at a landfill site. The agreement covers a 30-year term from 23 October 2025 to 22 October 2055.

According to the announcement, the Semarang Regency Government will grant PT Blondo the right to operate the waste processing project, provide at least 1,600 tons of waste weekly, and facilitate the relevant licensing. PT Blondo will build, manage, and oversee the waste processing facilities, submit regular operational reports, and process both organic and inorganic waste. PT Blondo will invest IDR24,900,000,000 (approximately HK$11,636,000) and bear all costs during the project term.

Revenue sharing is structured into three phases. PT Blondo will pay the Semarang Regency Government 0.55% of revenue generated from electricity sales from 1 January 2032 to 31 December 2036, 1.20% from 1 January 2037 to 31 December 2041, and 1.50% from 1 January 2042 until 22 October 2055.

The new partnership is intended to address waste management challenges while reducing greenhouse gas emissions and generating renewable energy for Semarang Regency. The initiative also supports local economic growth by harnessing landfill gas for power generation.