Exploring Liquidity Ratio, and Solvency Ratio at PLN Fulfills Business Continuity, Resiliency, and Sustainability

Electricity that is for a better life is the tagline of PT PLN (Persero), whilst both oversupply and carbon emission constitute the constraints to emerge it. The oversupply is the deficiency of PT PLN (Persero) to generate energy over than the demand power of customers. Besides, carbon emission influences climate change. This analysis to explore the capability of PLN dived more reasonably to understand the fulfillment of solving oversupply with liquidity ratios to meet business continuity and resiliency. Furthermore, this study aimed to have some inputs for continuous improvement in effective and efficient ways to obtain the growth of financial reports more impactful to save the future either in economy or environment, particularly business sustainability with solvency ratios. The Decree No.KEP-100/MBU/2002 issued by Indonesia Ministry of State-Owned Enterprises in June 2002 provides the mandatory of exploring of the SOE financial health condition. Therefore, the liquidity ratio became a study to analyze the containment among performance, adaptability, and development to obtain revenue with covering profitable orientations to reduce short-term debt using current, quick, and cash ratio. Likewise, fulfilling the long-term debt was imperative to concentrate the business sustainability more simultaneously in risk analysis to have trust from the public that PLN was the only producer of electric energy with eco-friendly. Thus, this study also measured the solvency ratio toward PLN’s ability paying off long-term debt, followed by changing the technology of its power plants from high to low-carbon emission and building renewable energy generators to achieve net-zero emission program until 2060.