In early 2026, the draft amendment to Presidential Regulation No. 112 of 2022 is reported to have entered the stage of seeking presidential approval for its initiation. One of the key proposed changes is the inclusion of provisions governing nuclear power plants, signaling that Indonesia’s nuclear power era may be progressing as planned. This raises two interesting questions: what would be the impact on coal-fired power plants and coal mining companies once nuclear power plants begin operating? and Which stocks could benefit from the nuclear power plant industry in Indonesia?
Before proceeding, it is important to note that Presidential Regulation No. 112 of 2022 focuses on accelerating the development of renewable energy. This regulation is derived from Government Regulation No. 14 of 2012 and Government Regulation No. 23 of 2014, which broadly govern electricity supply business activities. Neither these Government Regulations nor the current version of Presidential Regulation No. 112 of 2022 contains specific provisions on nuclear power generation. Such provisions are expected to be introduced through the forthcoming amendment to Presidential Regulation No. 112 of 2022.
Despite ongoing debates and concerns surrounding nuclear energy, nuclear power plants offer large-scale, stable electricity output, enabling them to operate as baseload generation and potentially replace coal-fired power plants, which have long served this role in Indonesia. Moreover, nuclear power plants do not produce CO₂ emissions from combustion, allowing them to be classified as clean energy, although their fuel source, uranium, is finite.
