Set amidst the verdant mountains of North Sumatra, the AEK SILANG II Hydropower Station is more than just an infrastructure achievement—it is a powerful testament to sustainable development and the growing confidence of Chinese private enterprises investing abroad. Developed by PT. Bakara Energi Lestari and backed by Henan Tianyuan Industrial Group, this small-scale hydropower plant delivers clean, renewable electricity to local communities while contributing to Indonesia’s long-term green energy ambitions.
Schinder Law Firm is proud to have been Tianyuan Group’s trusted legal counsel for this project since its inception in 2015. Our firm continues to provide full-spectrum legal support to the Group as they pursue further energy sector investments across Indonesia.
Project at a Glance: Powering Progress Through Clean Energy
- Project Name: AEK SILANG II Hydropower Station
- Location: Humbang Hasundutan Regency, North Sumatra, Indonesia
- Total Investment: USD 30 million
- Installed Capacity: 10 MW
- Commercial Operation Date: February 7, 2020
- Estimated Annual Output: 63 million kWh
- Projected Annual Revenue: USD 5.3 million
- Construction Contractor: Sichuan Anhe Water Conservancy and Hydropower Engineering Co., Ltd.
- Standards: Fully compliant with Chinese technical specifications
As Tianyuan Group’s flagship overseas green energy initiative, AEK SILANG II exemplifies the seamless integration of Chinese engineering standards with Indonesian operational practices. The project stands as a successful case study of bilateral industrial cooperation, generating value far beyond its commercial metrics.
Driving Sustainable Impact
AEK SILANG II represents a holistic approach to development—combining technical excellence with social responsibility. Its long-term benefits extend well beyond electricity generation:
- Employment: Over 160 jobs created, including 40+ permanent positions
- Community Upliftment: Enhanced access to electricity has improved local living conditions
- Industrial Support: Equipment supplied by XJ Electric Co., Ltd. strengthens Chinese manufacturing exports
- Industry Recognition: Acknowledged as a “Star Power Station” by PLN, Indonesia’s national electricity company
Tianyuan Group is the first Chinese private enterprise to directly invest in a small hydropower project in Indonesia, setting a precedent in technical integrity and ethical investment.
Technical Overview: Safety, Efficiency, Stability
- Dam Dimensions: 42 metres in length, 6 metres in height
- Diversion Tunnel: 3,022 metres with a 2.2-metre diameter main penstock
- Generation Units: Two 5,000 kW horizontal mixed-flow turbines
- Transmission Infrastructure: Step-up substation and 23 km of transmission lines
AEK SILANG II exemplifies comprehensive lifecycle management—ensuring reliable and efficient power delivery.
Corporate Social Responsibility: A Brighter Future Through Education
Tianyuan Group, through its subsidiary PT. Bakara Energi Lestari, has proactively contributed to the local community with a scholarship programme supporting outstanding students in Humbang Hasundutan Regency. This initiative underscores their commitment to fostering future talent and supporting Indonesia’s Vision 2045.
At a recent scholarship ceremony, Schinder Law Firm’s founder, Ms. Naz Schinder, was invited to speak: “Education is the cornerstone of achieving Indonesia’s Vision 2045. Each scholarship represents a commitment, a spark illuminating tomorrow.”
Mr. Guo Jianzhao, Chairman of Tianyuan Group, added: “We firmly believe green energy lights up the future, and education ignites hope.”
These words reflect a shared vision: that investment must not only power economies—but also empower people.
Our Role: Legal Support That Goes Beyond Compliance
Schinder Law Firm plays a pivotal role in supporting Chinese enterprises in Indonesia—ensuring they navigate the regulatory landscape smoothly while making meaningful contributions to local communities. From legal structuring and risk mitigation to CSR planning and implementation, our services are tailored to align with each client’s broader goals of compliance, credibility, and sustainability.
We understand that foreign direct investment is not merely transactional—it is relational. Our mission is to be the most dependable legal partner for forward-thinking Chinese businesses committed to long-term success in Indonesia.
If you, a prospective client, have further inquiries about the topic discussed above, Schinder Law Firm is one of many corporate law firms in Indonesia that has handled numerous similar matters, with many experienced and professional corporate and civil lawyers in its arsenal, making it one of the top consulting firms in Indonesia. Feel free to contact us at info@schinderlawfirm.com for further consultation.