Designing Productive Waqf-Based Financing Model for Renewable Energy Investments Project : Empirical Evidence From Indonesia
Yıl 2024,
Cilt: 2 Sayı: 2, 159 - 171, 24.12.2024
Nur Hendrasto
,
Murniati Mukhlısın
,
Harisuddin Harisuddin
,
Fauziah Chairiyati
Öz
This research examines the potential of productive waqf as an innovative financing solution for renewable energy projects, particularly Solar Power Plants (PLTS) in Krandegan Village, Central Java. With an approach of cash, asset, and land waqf, this research offers a sustainable financing model that not only supports agricultural efficiency through renewable energy-based irrigation but also enhances the overall well-being of the community. This study uses qualitative methods with a case study approach, involving in-depth interviews with various stakeholders. The results show that productive endowments have great potential in overcoming the funding limitations of renewable energy projects, supporting national energy mix targets, and providing extensive social and economic benefits. The proposed model can be replicated in other regions with similar solar energy potential.
Etik Beyan
We extend our deepest gratitude to BRIN (National Research and Innovation Agency)for their invaluable support of our research project titled:
**"Designing Productive Waqf-Based Financing Model for Renewable Energy Investments: Empirical Evidence from Indonesia."**
Your guidance and assistance have been instrumental in enabling us to pursue impactful research in renewable energy financing. We are truly grateful for the opportunity to collaborate under your esteemed support, and we look forward to contributing to Indonesia's sustainable development initiatives.
Thank you for your trust and dedication to advancing innovative solutions for the future.
Destekleyen Kurum
National Research and Innovation Agency (BRIN)
Teşekkür
We extend our deepest gratitude to BRIN (National Research and Innovation Agency) for their invaluable support of our research project titled:
**"Designing Productive Waqf-Based Financing Model for Renewable Energy Investments: Empirical Evidence from Indonesia."**
Your guidance and assistance have been instrumental in enabling us to pursue impactful research in renewable energy financing. We are truly grateful for the opportunity to collaborate under your esteemed support, and we look forward to contributing to Indonesia's sustainable development initiatives.
Thank you for your trust and dedication to advancing innovative solutions for the future.
Kaynakça
- Accounting and Auditing Organization for Islamic Financial Institutions. (n.d.). Shariah standard No. 21. Bahrain: AAOIFI.
- Ahmad, A. A., Yaacob, S. E., & Mat Zain, M. N. (2014). The Use of wa’Dan in Islamic Contract FX Forward: Weighting between Maslahah and Mafsadah. Asian Social Science, 10(22), 332–342.
https://doi.org/10.5539/ass.v10n22p332
- Ahmad, A. A., & Halim, M. A. A. (2014). The concept of hedging in Islamic financial transactions. Asian Social Science, 10(8), 42–49. https://doi.org/10.5539/ass.v10n8p42
- Akkuş, H. T., & Sakarya, Ş. (2018). Türev Ürünleri̇n İslami̇ Fi̇nans Modelleri̇ Açisindan Değerlendi̇ri̇lmesi̇. Adam Akademi Sosyal Bilimler Dergisi, 8(2), 267–299. https://doi.org/10.31679/adamakademi.427523
- al-Bukhārī, M. b. I. (1993). Al-Jāmiʿ al-ṣaḥīḥ (5th ed., Vols 1–7; M. D. al-Bughā, Ed.). Damascus: Dār Ibn Kathīr.
- al-Qurṭubī, A. ʼAbdillāh M. b. A. (1964). Al-Jāmiʼ li aḥkām al-Qur’ān (Vols 1–10). Cairo: Dār al-Kutub al-Miṣriyyah.
- al-Suwailem, S. (2006). Hedging in Islamic Finance. Jeddah: Islamic Development Bank.
- Breeden, D. T., & Viswanathan, S. (1998). Why Do Firms Hedge? An Asymmetric Information Approach. Journal of Fixed Income, 1(1), 1–55. https://doi.org/10.2139/ssrn.2642396
- BIST, Borsa Istanbul. (2024, July 24). Milestones in Borsa İstanbul history. Retrieved from https://borsaistanbul.com/en/sayfa/24/milestones-in-borsa-istanbul-history
- BIST, Borsa Istanbul. (2024, July 24). Legal framework. Retrieved from https://borsaistanbul.com/en/sayfa/3753/legal-framework
- BIST, Borsa Istanbul. (2024, July 24). International memberships. Retrieved from https://borsaistanbul.com/en/sayfa/2209/international-memberships
- Campello, M., Lin, C., Ma, Y., & Zou, H. (2011). The real and financial implications of corporate hedging. The journal of finance, 66(5), 1615-1647.
- Commission. (2004). Amr. In Al-Mawsūʼa al-Fiqhiyyah al-Kuwaitiyyah (Vols 1–45). Kuwait: Wizārah al-Awqāf.
- Daka, V. R., & Basu, S. (2016). Is Corporate Hedging Consistent with Value-Maximization in Emerging Markets?: An Empirical Analysis of Indian Firms. Retrieved from http://repository.iimb.ac.in/handle/2074/11977
- Dusuki, A. W. (2009). Shari’ah Parameters on the Islamic Foreign Exchange Swap as a Hedging Mechanism in Islamic Finance. ISRA International Journal of Islamic Finance, 1(1), 77–99. https://doi.org/10.55188/ijif.v1i1.66
- Injadat, E. M. (2014). Futures and forwards contracts from perspective of Islamic law. Journal of economics and political economy, 1(2), 241-252.
- Injadat, E. (2022). The development of Salam as a hedging instrument. Asian Journal of Earth Sciences, 5(5), 33–42.
- Injadat, E. (2018). The practical model of hedging in Islamic financial markets. International Journal of Economics, Commerce and Management, VI(6), 134–140.
- International Shariah Research Academy for Islamic Finance (ISRA). (2015). Islamic Capital Market: Principles & Practices. Kuala Lumpur: ISRA Academy. Retrieved from https://ubsmebooks.com/book/info/203206/Islamic-Capital-Market-Principles-Practices
- Jobst, A., et al. (2008). Islamic bond issuance: What sovereign debt managers need to know. International Journal of Islamic and Middle Eastern Finance and Management, 1(4), 330–344. https://doi.org/10.1108/17538390810919637
- Johnson, L. L. (1976). The Theory of Hedging and Speculation in Commodity Futures. In B. A. Goss & B. S. Yamey (Eds.), The Economics of Futures Trading (pp. 83–99). London: Palgrave Macmillan UK. https://doi.org/10.1007/978-1-349-02693-7_4
- Kamali, M. H. (2007). Commodity Futures: An Islamic Legal Analysis. Thunderbird International Business Review, 49(3), 309–339. https://doi.org/10.1002/tie.20146
- KAP, Public Disclosure Platform. (2024, July 24). Companies. Retrieved from https://www.kap.org.tr/en/bist-sirketler
- Khan, M. A. (1988). Commodity exchange and stock exchange in Islamic economy. American Journal of Islam and Society, 5(1), 91–114. https://doi.org/10.35632/ajis.v5i1.2882
- Malkawi, B. H. (2014). Financial Derivatives Between Western Legal Tradition and Islamic Finance: A Comparative Approach. Journal of Banking Regulation, 15(1), 41–55.
- Mohamad, S., Ahmad, A. A., & Shahimi, S. (2011). Innovative Islamic Hedging Products: Application of Wa’d in Malaysian Banks [SSRN Scholarly Paper]. Rochester, NY. Retrieved from https://papers.ssrn.com/abstract=2070574
- Mohamad, S., Othman, J., Roslin, R., & Lehner, O. M. (2014). The Use of Islamic Hedging Instruments as Non-Speculative Risk Management Tools. Venture Capital, 16(3), 207–226. https://doi.org/10.1080/13691066.2014.922824
- Mohamad, S., & Tabatabaei, A. (2008, December 16). Islamic Hedging: Gambling or Risk Management? 2–19. Australia.
- Mohd Razif, N. F., Mohamad, S., & Rahman, N. N. A. (2012). Permissibility of Hedging in Islamic Finance. Middle-East Journal of Scientific Research, 12(2), 155–159. https://doi.org/10.5829/idosi.mejsr.2012.12.2.1679
- Nordin, N., et al. (2014). The Islamic hedging management: Paving the way for innovation in currency options. International Journal of Management Studies, 21(1), 23–37.
- Orhan, Z. H., & Isiker, M. (2021). Developing a ranking methodology for Sharīʿah indices: The case of Borsa Istanbul. ISRA International Journal of Islamic Finance, 13(3), 302–317. https://doi.org/10.1108/IJIF-08-2019-0113
- Pramita, V. T., & Nisa, F. L. (2024). Penerapan Efektif dalam Keuangan Islam melalui Peran Maqashid Syariah. Economic and Business Management International Journal (EABMIJ), 6(2), 89–96.
https://doi.org/10.556442/eabmij.v6i2.687
- Published Standards – International Islamic Financial Market. (n.d.). Retrieved 1 October 2024, from https://www.iifm.net/standards/published-standards
- Razif, N. F. M., Mohamad, S., & Rahman, N. N. A. (2012). Permissibility of hedging in Islamic finance. Middle-East Journal of Scientific Research, 12(2), 155-159.
- Sole, J. (2007). Introducing Islamic Banks Into Coventional Banking Systems. IMF Working Papers, 07(175), 1–28. https://doi.org/10.5089/9781451867398.001
- Umar, Z., et al. (2020). The inflation hedging capacity of Islamic and conventional equities. Journal of Economic Studies, 47(6), 1377–1399. https://doi.org/10.1108/JES-04-2019-0183
- Wardrep, B. N., & Buck, J. F. (1982). The efficacy of hedging with financial futures: A historical perspective. Journal of Futures Markets, 2(3), 243–254. https://doi.org/10.1002/fut.3990020304
- Zaabi, O. S. A. (2010). Salam Contract in Islamic Law: A Survey. Review of Islamic Economics, 14(2), 91–122.
Designing Productive Waqf-Based Financing Model for Renewable Energy Investments Project : Empirical Evidence From Indonesia
Yıl 2024,
Cilt: 2 Sayı: 2, 159 - 171, 24.12.2024
Nur Hendrasto
,
Murniati Mukhlısın
,
Harisuddin Harisuddin
,
Fauziah Chairiyati
Öz
This research examines the potential of productive waqf as an innovative financing solution for renewable energy projects, particularly Solar Power Plants (PLTS) in Krandegan Village, Central Java. With an approach of cash, asset, and land waqf, this research offers a sustainable financing model that not only supports agricultural efficiency through renewable energy-based irrigation but also enhances the overall well-being of the community. This study uses qualitative methods with a case study approach, involving in-depth interviews with various stakeholders. The results show that productive endowments have great potential in overcoming the funding limitations of renewable energy projects, supporting national energy mix targets, and providing extensive social and economic benefits. The proposed model can be replicated in other regions with similar solar energy potential
Kaynakça
- Accounting and Auditing Organization for Islamic Financial Institutions. (n.d.). Shariah standard No. 21. Bahrain: AAOIFI.
- Ahmad, A. A., Yaacob, S. E., & Mat Zain, M. N. (2014). The Use of wa’Dan in Islamic Contract FX Forward: Weighting between Maslahah and Mafsadah. Asian Social Science, 10(22), 332–342.
https://doi.org/10.5539/ass.v10n22p332
- Ahmad, A. A., & Halim, M. A. A. (2014). The concept of hedging in Islamic financial transactions. Asian Social Science, 10(8), 42–49. https://doi.org/10.5539/ass.v10n8p42
- Akkuş, H. T., & Sakarya, Ş. (2018). Türev Ürünleri̇n İslami̇ Fi̇nans Modelleri̇ Açisindan Değerlendi̇ri̇lmesi̇. Adam Akademi Sosyal Bilimler Dergisi, 8(2), 267–299. https://doi.org/10.31679/adamakademi.427523
- al-Bukhārī, M. b. I. (1993). Al-Jāmiʿ al-ṣaḥīḥ (5th ed., Vols 1–7; M. D. al-Bughā, Ed.). Damascus: Dār Ibn Kathīr.
- al-Qurṭubī, A. ʼAbdillāh M. b. A. (1964). Al-Jāmiʼ li aḥkām al-Qur’ān (Vols 1–10). Cairo: Dār al-Kutub al-Miṣriyyah.
- al-Suwailem, S. (2006). Hedging in Islamic Finance. Jeddah: Islamic Development Bank.
- Breeden, D. T., & Viswanathan, S. (1998). Why Do Firms Hedge? An Asymmetric Information Approach. Journal of Fixed Income, 1(1), 1–55. https://doi.org/10.2139/ssrn.2642396
- BIST, Borsa Istanbul. (2024, July 24). Milestones in Borsa İstanbul history. Retrieved from https://borsaistanbul.com/en/sayfa/24/milestones-in-borsa-istanbul-history
- BIST, Borsa Istanbul. (2024, July 24). Legal framework. Retrieved from https://borsaistanbul.com/en/sayfa/3753/legal-framework
- BIST, Borsa Istanbul. (2024, July 24). International memberships. Retrieved from https://borsaistanbul.com/en/sayfa/2209/international-memberships
- Campello, M., Lin, C., Ma, Y., & Zou, H. (2011). The real and financial implications of corporate hedging. The journal of finance, 66(5), 1615-1647.
- Commission. (2004). Amr. In Al-Mawsūʼa al-Fiqhiyyah al-Kuwaitiyyah (Vols 1–45). Kuwait: Wizārah al-Awqāf.
- Daka, V. R., & Basu, S. (2016). Is Corporate Hedging Consistent with Value-Maximization in Emerging Markets?: An Empirical Analysis of Indian Firms. Retrieved from http://repository.iimb.ac.in/handle/2074/11977
- Dusuki, A. W. (2009). Shari’ah Parameters on the Islamic Foreign Exchange Swap as a Hedging Mechanism in Islamic Finance. ISRA International Journal of Islamic Finance, 1(1), 77–99. https://doi.org/10.55188/ijif.v1i1.66
- Injadat, E. M. (2014). Futures and forwards contracts from perspective of Islamic law. Journal of economics and political economy, 1(2), 241-252.
- Injadat, E. (2022). The development of Salam as a hedging instrument. Asian Journal of Earth Sciences, 5(5), 33–42.
- Injadat, E. (2018). The practical model of hedging in Islamic financial markets. International Journal of Economics, Commerce and Management, VI(6), 134–140.
- International Shariah Research Academy for Islamic Finance (ISRA). (2015). Islamic Capital Market: Principles & Practices. Kuala Lumpur: ISRA Academy. Retrieved from https://ubsmebooks.com/book/info/203206/Islamic-Capital-Market-Principles-Practices
- Jobst, A., et al. (2008). Islamic bond issuance: What sovereign debt managers need to know. International Journal of Islamic and Middle Eastern Finance and Management, 1(4), 330–344. https://doi.org/10.1108/17538390810919637
- Johnson, L. L. (1976). The Theory of Hedging and Speculation in Commodity Futures. In B. A. Goss & B. S. Yamey (Eds.), The Economics of Futures Trading (pp. 83–99). London: Palgrave Macmillan UK. https://doi.org/10.1007/978-1-349-02693-7_4
- Kamali, M. H. (2007). Commodity Futures: An Islamic Legal Analysis. Thunderbird International Business Review, 49(3), 309–339. https://doi.org/10.1002/tie.20146
- KAP, Public Disclosure Platform. (2024, July 24). Companies. Retrieved from https://www.kap.org.tr/en/bist-sirketler
- Khan, M. A. (1988). Commodity exchange and stock exchange in Islamic economy. American Journal of Islam and Society, 5(1), 91–114. https://doi.org/10.35632/ajis.v5i1.2882
- Malkawi, B. H. (2014). Financial Derivatives Between Western Legal Tradition and Islamic Finance: A Comparative Approach. Journal of Banking Regulation, 15(1), 41–55.
- Mohamad, S., Ahmad, A. A., & Shahimi, S. (2011). Innovative Islamic Hedging Products: Application of Wa’d in Malaysian Banks [SSRN Scholarly Paper]. Rochester, NY. Retrieved from https://papers.ssrn.com/abstract=2070574
- Mohamad, S., Othman, J., Roslin, R., & Lehner, O. M. (2014). The Use of Islamic Hedging Instruments as Non-Speculative Risk Management Tools. Venture Capital, 16(3), 207–226. https://doi.org/10.1080/13691066.2014.922824
- Mohamad, S., & Tabatabaei, A. (2008, December 16). Islamic Hedging: Gambling or Risk Management? 2–19. Australia.
- Mohd Razif, N. F., Mohamad, S., & Rahman, N. N. A. (2012). Permissibility of Hedging in Islamic Finance. Middle-East Journal of Scientific Research, 12(2), 155–159. https://doi.org/10.5829/idosi.mejsr.2012.12.2.1679
- Nordin, N., et al. (2014). The Islamic hedging management: Paving the way for innovation in currency options. International Journal of Management Studies, 21(1), 23–37.
- Orhan, Z. H., & Isiker, M. (2021). Developing a ranking methodology for Sharīʿah indices: The case of Borsa Istanbul. ISRA International Journal of Islamic Finance, 13(3), 302–317. https://doi.org/10.1108/IJIF-08-2019-0113
- Pramita, V. T., & Nisa, F. L. (2024). Penerapan Efektif dalam Keuangan Islam melalui Peran Maqashid Syariah. Economic and Business Management International Journal (EABMIJ), 6(2), 89–96.
https://doi.org/10.556442/eabmij.v6i2.687
- Published Standards – International Islamic Financial Market. (n.d.). Retrieved 1 October 2024, from https://www.iifm.net/standards/published-standards
- Razif, N. F. M., Mohamad, S., & Rahman, N. N. A. (2012). Permissibility of hedging in Islamic finance. Middle-East Journal of Scientific Research, 12(2), 155-159.
- Sole, J. (2007). Introducing Islamic Banks Into Coventional Banking Systems. IMF Working Papers, 07(175), 1–28. https://doi.org/10.5089/9781451867398.001
- Umar, Z., et al. (2020). The inflation hedging capacity of Islamic and conventional equities. Journal of Economic Studies, 47(6), 1377–1399. https://doi.org/10.1108/JES-04-2019-0183
- Wardrep, B. N., & Buck, J. F. (1982). The efficacy of hedging with financial futures: A historical perspective. Journal of Futures Markets, 2(3), 243–254. https://doi.org/10.1002/fut.3990020304
- Zaabi, O. S. A. (2010). Salam Contract in Islamic Law: A Survey. Review of Islamic Economics, 14(2), 91–122.