Indonesia eyes trilateral data-center tie-up with Singapore, Malaysia

Digital Realty Data Center in Ashburn, Virginia, U.S., March 17, 2025. Photo by Reuters

Indonesian Coordinating Economy Minister Airlangga Hartarto said the power supply for the data center will be connected to the Green Super Grid – Indonesia’s planned renewable-energy transmission network. The system will stretch from Sumatra to Nusa Tenggara and connect to Riau Islands province, directly serving the growing data center cluster in Batam, with the possibility of expansion to Bintan.

Airlangga stressed that Indonesian government is accelerating the deployment of solar power plants and expanding renewable energy supply under the direction of President Prabowo Subianto.

It is estimated that if developed in 60,000 villages, renewable energy capacity could increase to about 90 GW. However, the biggest challenge now is still the investment cost for transmission, in the context that Indonesia is still waiting for US$472 billion in global climate finance commitments.

According to PT Perusahaan Listrik Negara (PLN) - Indonesia's state electricity corporation, the Green Super Grid project is expected to require $25 billion in investment, with plans to build about 50,000 km of transmission lines, connecting consumers and industry to electricity sources including 19.6 GW of hydropower; 16.5 GW of solar power; 11.3 GW of wind power; and 7.1 GW of geothermal power.