Investment Rating - The report maintains an "Overweight" rating for the public utility and environmental sectors [6] Core Insights - The waste-to-energy industry in Southeast Asia and Central Asia is expected to experience rapid growth, with significant investment opportunities for Chinese companies. The projected investment and operational space for waste-to-energy in Southeast Asia and Central Asia by 2030 is estimated at 182.9 billion and 25.7 billion yuan respectively, compared to China's 19.6 billion and 71.4 billion yuan by 2025 [1][11] - The introduction of Indonesia's Presidential Regulation No. 109 in 2025 is expected to enhance project development processes and stabilize revenue streams, making the market more attractive for investment. The fixed electricity price of $0.20 per kWh is significantly higher than the rates for other renewable energy sources [2][17] - Chinese companies have been actively participating in waste-to-energy projects in Indonesia and Central Asia, with several projects already underway. The internal rate of return (IRR) for waste-to-energy projects in Indonesia is estimated at 9.5%, which is 3.7 percentage points higher than typical projects in China [18][30] Summary by Sections Indonesia - The new regulatory framework in Indonesia has improved the commercial model for waste-to-energy projects, with the first batch of projects expected to be awarded in March 2026. The government has centralized the bidding process under the sovereign wealth fund Danantara, which is expected to enhance project viability [2][21] - The IRR for waste-to-energy projects in Indonesia is projected to be 9.5%, significantly higher than typical projects in China, indicating a favorable investment environment [18][19] Central Asia - Central Asian countries are increasingly focusing on waste-to-energy solutions due to issues like waste accumulation and electricity shortages. The first waste-to-energy project in Central Asia, located in Bishkek, Kyrgyzstan, has already been completed, with an IRR of 7.4% [3][30] - Chinese companies, including China Everbright and Junxin Co., have become key players in the development of waste-to-energy projects in Central Asia, with multiple projects in various stages of development [27][28] Investment Recommendations - The report recommends several companies for investment, including Weiming Environmental, Wangneng Environment, and China Everbright, which have demonstrated strong capabilities and strategic foresight in the waste-to-energy sector [4][33]