The global shift toward sustainable energy necessitates strategies that are not only technologically sound but also socially inclusive and equitable. Biomass co-firing presents a promising transitional technology for countries like Indonesia, yet its long-term viability often falters due to socioeconomic challenges in the supply chain. This qualitative case study investigates a pioneering biomass co-firing initiative in Indonesia that adopted a co-creation model, actively involving the local community as partners. Data collected through in-depth interviews, focus group discussions, and observation revealed that the co-creation process, built on structured dialogue, capacity-building symbiosis, and adaptive governance, successfully transformed a corporate-led project into a resilient community partnership. While tensions over pricing and scheduling marked the company–community interface, these were constructively navigated, reinforcing the partnership. Crucially, the model catalyzed local socioeconomic empowerment, creating circular income streams and enhancing community agency. The study concludes that co-creation is a critical mechanism for achieving a just and sustainable energy transition. However, for the model to be scalable and durable, it must be supported by strategies that ensure long-term biomass sustainability, financial independence for community enterprises, and stronger institutional embedding within corporate and policy frameworks.
AdomP. K., Amuakwa-MensahF., AgradiM. P., & NsabimanaA. (2021). Energy poverty, development outcomes, and transition to green energy. Renewable Energy, 178, 1337–1352; 10.1016/j.renene.2021.06.120
2.
Al-OmoushK. S., de LucasA., & del ValM. T. (2023). The role of e-supply chain collaboration in collaborative innovation and value-co creation. Journal of Business Research, 158, 113647; 10.1016/j.jbusres.2023.113647
3.
AnsellC., SørensenE., TorfingJ., & TrondalJ. (2024). Robust Governance in Turbulent Times. Cambridge University Press; 10.1017/9781009433006
4.
AstutiW., & WidiastutiD. A. (2024). Analisis rantai pasok biomassa untuk mendukung co-firing PLTU di Indonesia: Perspektif system thinking. Eduvest: Journal of Universal Studies, 4(2). Available from: https://eduvest.greenvest.co.id/index.php/edv/article/view/50937
5.
AtesA., PatonS., BititciU., & Kemal KonyalıoğluA. (2025). From transfer to co-creation: Action research perspectives in knowledge transfer partnership (KTP) projects. Production Planning & Control, 36(2), 236–249; 10.1080/09537287.2024.2335475
6.
BabuM. M., DeyB. L., RahmanM., RoyS. K., Syed AlwiS. F., & KamalM. M. (2020). Value co-creation through social innovation: A study of sustainable strategic alliance in telecommunication and financial services sectors in Bangladesh. Industrial Marketing Management, 89, 13–27; 10.1016/j.indmarman.2020.06.003
7.
BoonF. P., & DieperinkC. (2014). Local civil society based renewable energy organisations in the Netherlands: Exploring the factors that stimulate their emergence and development. Energy Policy, 69, 297–307.
8.
BraunV., & ClarkeV. (2006). Using thematic analysis in psychology. Qualitative Research in Psychology, 3(2), 77–101.
9.
BudimanA., HandayaniN. U., & RiyantoB. (2020). Technical review of biomass co-firing in coal power plants in Indonesia. Proceeding of International Green & Smart Cities Conference (IGSC), 322. Available from: https://gcs.itb.ac.id/proceeding-igsc/igsc/article/view/322
10.
CarleyS., & KoniskyD. M. (2020). The justice and equity implications of the clean energy transition. Nature Energy, 5(8), 569–577.
11.
ChapmanA. J., & ItaokaK. (2018). Energy transition to a future low-carbon energy society in Japan’s liberalizing electricity market: Precedents, policies and factors of successful transition. Renewable and Sustainable Energy Reviews, 81, 2019–2027.
12.
CreswellJ. W., & PothC. N. (2016). Qualitative inquiry and research design: Choosing among five approaches. Sage publications.
13.
De SilvaM., KhanZ., VorleyT., & ZengJ. (2020). Transcending the pyramid: Opportunity co-creation for social innovation. Industrial Marketing Management, 89, 471–486; 10.1016/j.indmarman.2019.12.001
14.
GoetzF., TürkmenI., BuckC., & MecklR. (2023). Investigating social factors and their impact on value co-creation in supply chain ecosystems. Journal of Global Operations and Strategic Sourcing, 16(1), 69–89; 10.1108/JGOSS-03-2021-0025
15.
GutiérrezV., AmaxilatisD., MylonasG., & MuñozL. (2018). Empowering citizens toward the co-creation of sustainable cities. IEEE Internet of Things Journal, 5(2), 668–676; 10.1109/JIOT.2017.2743783
16.
HansenE. G., & SchalteggerS. (2016). The sustainability balanced scorecard: A systematic review of architectures. Journal of Business Ethics, 133(2), 193–221.
17.
HartonoC. (2024). Optimasi Supply Chain Biomassa Cofiring untuk Meningkatkan Bauran Energi dan Keekonomisan Biaya Pokok Produksi Listrik pada PLTU Banten 3 Lontar. Institut Teknologi Sepuluh Nopember.
18.
HetemäkiL., HanewinkelM., MuysB., OllikainenM., PalahíM., et al. (2017). Leading the way to a European circular bioeconomy strategy (Vol. 5). Joensuu, Finland: European Forest Institute.
19.
ImansuriF., HadigunaR. A., & AfrinaldiF. (2019). Model Optimasi Perancangan Jaringan Rantai Pasok Biomassa dari Tandan Kosong Kelapa Sawit di Sumatera Barat. Jurnal Optimasi Sistem Industri, 18(1), 1–13; 10.25077/josi.v18.n1.p1-13.2019
20.
KaminskieneL., ŽydžiunaiteV., JurgileV., & PonomarenkoT. (2020). Co-creation of learning: A concept analysis. European Journal of Contemporary Education, 9(2), 337–349; 10.13187/ejced.2020.2.337
21.
KusumastutiR., VirgianitaA., & JuwonoV. (2023). Co-creation strategy in empowering indigenous women’s innovation in Indonesia: Empirical evidence of weaver community entrepreneurs in West Nusa Tenggara, Contributions to Environmental Sciences & Innovative Business Technology. (pp. 17–37). Singapore: Springer, 10.1007/978-981-99-5142-0_2
22.
LeeS. Y., KimY., & KimY. (2020). The co-creation of social value: What matters for public participation in corporate social responsibility campaigns. Journal of Public Relations Research, 32(5–6), 198–221; 10.1080/1062726X.2021.1888734
23.
LowitzschJ., LowitzschS., & SangsterE. T. (2019). Energy transition. Springer.
24.
MaQ., MurshedM., & KhanZ. (2021). The nexuses between energy investments, technological innovations, emission taxes, and carbon emissions in China. Energy Policy, 155, 112345; 10.1016/j.enpol.2021.112345
25.
McCauleyD., & HeffronR. (2018). Just transition: Integrating climate, energy and environmental justice. Energy Policy, 119, 1–7.
26.
McCormickK., & KåbergerT. (2007). Key barriers for bioenergy in Europe: Economic conditions, know-how and institutional capacity, and supply chain co-ordination. Biomass and Bioenergy, 31(7), 443–452.
27.
MekhilefS., SaidurR., SafariA., & MustaffaW. E. S. B. (2011). Biomass energy in Malaysia: Current state and prospects. Renewable and Sustainable Energy Reviews, 15(7), 3360–3370; 10.1016/j.rser.2011.04.016
28.
MirzaU. K., AhmadN., & MajeedT. (2008). An overview of biomass energy utilization in Pakistan. Renewable and Sustainable Energy Reviews, 12(7), 1988–1996; 10.1016/j.rser.2007.04.001
29.
PattonM. Q. (2015). Qualitative Research and Evaluation methods (4th edn.). Thousand Oaks; London: Sage Publications New Delhi.
30.
PorterM. E., & KramerM. R. (2006). The link between competitive advantage and corporate social responsibility. Harvard Business Review, 84(12), 78–92, 163.
31.
ReyselianiN., HidayatnoA., & PurwantoW. W. (2022). Implication of the Paris agreement target on Indonesia electricity sector transition to 2050 using TIMES model. Energy Policy, 169, 113184; 10.1016/j.enpol.2022.113184
32.
SarmahB., IslamJ. U., & RahmanZ. (2015). Sustainability, social responsibility and value co-creation: A case study based approach. Procedia—Social and Behavioral Sciences, 189, 314–319; 10.1016/j.sbspro.2015.03.227
33.
SeyfangG., & SmithA. (2007). Grassroots innovations for sustainable development: Towards a new research and policy agenda. Environmental Politics, 16(4), 584–603.
34.
SharmaA., DubeyR., & SinghR. (2021). Green jobs and rural development: Role of biomass energy in community empowerment. Renewable and Sustainable Energy Reviews, 2(1); 10.1016/j.rser.2020.110223
35.
SicilianoG., WallbottL., UrbanF., DangA. N., & LedererM. (2021). Low‐carbon energy, sustainable development, and justice: Towards a just energy transition for the society and the environment. Sustainable Development, 29(6), 1049–1061.
36.
SmithA. (2012). Civil society in sustainable energy transitions. In Governing the energy transition (pp. 180–202). Routledge.
37.
SovacoolB. K., NewellP., CarleyS., & FanzoJ. (2022). Equity, technological innovation and sustainable behaviour in a low-carbon future. Nature Human Behaviour, 6(3), 326–337.
38.
TrianiR., & NovaniS. (2023). Menciptakan Tujuan Pembangunan Berkelanjutan (SDGs) Melalui Value Co-Creation Dalam Akuakultur Darat di Indonesia. TheJournalish: Social and Government, 4(5), 292–308.
39.
UmaranT., PerdanaT., KurniadieD., & ParikesitP. (2022). Co-creation approach in designing a sustainable coffee supply chain (a case in Bandung Regency, West Java, Indonesia). Sustainability, 14(1), 476; 10.3390/su14010476
40.
VaskalisI., VoudourisI., & LioukasS. (2023). Social acceptance of renewable energy projects: The role of community participation and perceived benefits. Energy Policy, 3(10); 10.1016/j.enpol.2023.113333
41.
VoorbergW. H., BekkersV. J. J. M., & TummersL. G. (2015). A systematic review of co-creation and co-production: Embarking on the social innovation journey. Public Management Review, 17(9), 1333–1357; 10.1080/14719037.2014.930505
42.
WibowoJ. A. P., SuyantoS., RusmayadiG., & GhofurA. (2023). Analysis of potential emission loads at the co-firing steam power plant and the absorption capability of reforestation plants in the work area on CO2 emissions of PT Makmur Sejahtera Wisesa, Tabalong Regency, South Kalimantan Province. EnviroScienteae, 19(1), 60–75.
WindrumP., SchartingerD., RubalcabaL., GalloujF., & ToivonenM. (2016). The co-creation of multi-agent social innovations: A bridge between service and social innovation research. European Journal of Innovation Management, 19(2), 150–166; 10.1108/EJIM-05-2015-0033
45.
XuY., YangK., ZhouJ., & ZhaoG. (2020). Coal-biomass co-firing power generation technology: Current status, challenges and policy implications. Sustainability (Switzerland), 12(9), 3692; 10.3390/su12093692
46.
YinR. K. (2018). Case study research and applications (Vol. 6). Sage. Thousand Oaks, CA.
47.
YosianaC. (2024). The impact of demographic factors and the policy of biomass co-firing as a new kind of renewable energy on spatial planning in Indonesia. Icpsd; 10.2991/978-2-38476-315-3
48.
ZhangS., MengQ., & XieJ. (2022). Closed-loop supply chain value co-creation considering equity crowdfunding. Expert Systems with Applications, 199, 117003; 10.1016/j.eswa.2022.117003
