BP Batam oversees Rp88 trillion AI data centre investment in Batam
Batam boasts geographical advantages, international connectivity, and a highly competitive readiness for the future digital industry.
The Batam Development Authority (BP Batam) in the Riau Islands (Kepri) is overseeing a strategic AI data centre investment worth US$5 billion (approximately Rp88 trillion) across a 30-hectare development area.
Deputy Head of BP Batam Li Claudia Chandra stated that digital sector investments are a key part of Batam’s new economic transformation direction.
“Batam possesses geographical advantages, international connectivity, and a highly competitive readiness for the future digital industry. The arrival of this Artificial Intelligence (AI) Data Centre investment marks a pivotal moment in accelerating Batam’s transformation towards a technology, innovation, and digitalisation-based economy,” she said in an official statement received in Batam on Monday.
BP Batam has reaffirmed its commitment to transforming Batam into a regional digital and AI hub through the signing of a Power Purchase Agreement (PPA) between PT PLN Batam and PT Equator Gate System Batam (EGSB).
This agreement strengthens Batam’s digital ecosystem and demonstrates the region’s readiness to support globally standardised hyperscale AI data centre investments.
EGSB is an AI data centre developer backed by Range Intelligent Computing Technology Company Limited (RangeIDC), one of China’s largest data centre companies listed on the Shenzhen Stock Exchange.
Batam was chosen as the company’s first international expansion site outside China, focusing on developing a High-Density AI Data Centre in the Teluk Mata Ikan area of Nongsa, Batam.
Meanwhile, BP Batam’s Investment Deputy Fary Djemy Francis stated that BP Batam will oversee the project using a fast-track execution approach to ensure accelerated investment implementation.
He added that energy readiness is fundamental for AI and modern data centres, which require large, stable, and sustainable power supplies.
“BP Batam is ensuring investment certainty, streamlined services, and regional readiness. PLN Batam guarantees energy preparedness. This collaboration shows Batam is ready to become Indonesia’s AI and Digital Gateway connected to the global ecosystem,” said Fary.
He added that the EGSB project is expected to attract other strategic industries such as cloud computing, semiconductor ecosystems, AI services, and various global digital industries.
Alongside strengthening Batam’s position in the global digital industry chain, the investment is projected to have wide economic impacts through professional job creation, technology transfer, enhanced local workforce competitiveness, and sustainable digital economic growth.
EGSB is expected to employ around 700-800 professionals in data centre and digital technology fields through recruitment and talent development collaborations with Batam’s higher education institutions.
BP Batam views synergy between government, energy providers, industry players, and educational institutions as crucial in building Batam as a modern, competitive, and world-class national digital economic growth hub.
“Batam is no longer just developing as a manufacturing industrial zone but is transforming into an Execution Hub for the Global Digital Industry,” Fary concluded.