Indonesian Power Utility PLN Uses Financial Incentives to Silence Journalists

Indonesia’s state electricity company, Perusahaan Listrik Negara (PLN), has employed an aggressive strategy to suppress critical journalism through targeted cash payments, according to recent investigations by media watchdog groups.

The practice, revealed through internal documents and testimonials from journalists, shows how the utility systematically offers financial incentives to reporters covering energy and environmental issues. These payments, often disguised as “media partnerships” or “consulting fees,” appear designed to discourage reporting on controversial topics, including the company’s continued reliance on coal power plants despite climate commitments.

“They approached me after I published an investigation about pollution from one of their coal plants,” said a journalist from East Java who requested anonymity fearing professional repercussions. “The offer was clear – a monthly stipend in exchange for ‘balanced’ coverage, which basically meant not writing negative stories.”

Documents obtained by press freedom advocates reveal a sophisticated system of journalist categorization within PLN. Reporters are classified based on their perceived influence and the critical nature of their past coverage, with payment amounts tailored accordingly. Monthly payments range from 2 million to 5 million rupiah (approximately $130-325), representing significant sums in a country where journalism salaries often hover around $400 per month.

The practice appears particularly concentrated in regions where PLN operates controversial facilities. In coal-rich provinces like East Kalimantan and South Sumatra, where environmental concerns about mining and power generation are prevalent, PLN’s media engagement budget has reportedly doubled over the past three years.

Indonesia’s media landscape makes it particularly vulnerable to such influence campaigns. The country has hundreds of news outlets competing for limited advertising revenue, leaving many journalists financially insecure. While Indonesia’s press freedom has improved since the fall of the Suharto dictatorship in 1998, economic pressures have created new vulnerabilities.

“This is a sophisticated form of censorship,” explained Ratna Dasgupta, director of the Jakarta-based Media Rights Institute. “Unlike direct threats or legal intimidation, financial co-option is harder to detect and combat. It creates conflicts of interest that compromise journalistic independence.”

The revelations come at a critical time for Indonesia’s energy sector. Despite President Joko Widodo’s international commitments to address climate change, including pledges made at recent UN climate conferences, Indonesia continues to expand its coal power capacity. PLN plays a central role in this strategy, managing dozens of coal plants nationwide while facing increasing scrutiny from environmental activists.

Media manipulation appears aimed at minimizing coverage of this contradiction between climate promises and fossil fuel expansion. Journalists who accept payments report pressure to focus on PLN’s limited renewable energy projects while downplaying coal expansion and its environmental impacts.

“We’ve documented a clear pattern where investigative stories about coal pollution or community displacement suddenly disappear from publication schedules after reporters meet with PLN representatives,” said environmental activist Budi Santoso from Climate Action Network Indonesia. “When stories do appear, they’re often watered down to remove critical perspectives.”

The practice may violate Indonesian media ethics codes, which prohibit journalists from accepting payments that could influence coverage. The Press Council of Indonesia, the country’s media regulatory body, has expressed concern about the revelations and promised an investigation.

“These allegations, if proven true, represent a serious threat to press freedom and the public’s right to information,” said Press Council member Ahmad Djauhar. “Companies have the right to engage with media, but not to buy favorable coverage or silence criticism.”

PLN has defended its media engagement program as standard corporate communication practice. In a statement, the company described its payments as “professional compensation for media partnerships” and denied any attempt to influence editorial content.

Industry analysts note that the controversy reflects broader challenges in Indonesia’s journey toward energy transition. As one of the world’s largest coal producers and consumers, Indonesia faces difficult economic tradeoffs in shifting to cleaner energy sources.

“PLN is caught between competing pressures,” explained energy economist Fabby Tumiwa from the Institute for Essential Services Reform. “International climate commitments push for decarbonization, while domestic political imperatives favor continuing coal use. Managing this public narrative is clearly a priority for them.”

Press freedom advocates are calling for greater transparency in media-corporate relationships and stronger ethical guidelines for journalists. They emphasize that accurate reporting on energy and environmental issues is essential for informed public discourse as Indonesia navigates complex energy transition challenges.