Farmsent Explores IDR 16.3 Trillion Data Centre Investment in Batam

Interest in building data centres in Batam continues to strengthen. The Batam Concession Agency (BP Batam) has received an investment exploration from PT Farmsent Indonesia alongside an international partner, with an initial investment value reaching USD 1 billion or approximately IDR 16.3 trillion. The plan signals growing investor interest in Batam as a digital industry development area. However, BP Batam stated that the project is still in its early stages and has not yet reached an investment commitment or site selection. The investment exploration was discussed in a meeting between BP Batam and PT Farmsent Indonesia with its international partner, held in a hybrid format at the Bida Utama Building meeting room, Batam Centre, on Thursday (25/6). Deputi Bidang Pelayanan Umum BP Batam, Ariastuty Sirait, confirmed that discussions are still at the exploration stage. Because it is still in the early stages, BP Batam cannot yet confirm when the investment will be realised. The location for the data centre is also still under review, with the investor and BP Batam currently identifying several areas deemed suitable for the project’s needs. Details regarding land requirements, area size, and the final location remain part of the assessment process. BP Batam has also not disclosed the identity of the international partner collaborating with PT Farmsent Indonesia. Other aspects such as electricity and clean water supply, data centre capacity, and employment targets will be discussed further once the project advances to the next stage. Despite the preliminary nature of the talks, BP Batam is optimistic that the growing interest in data centre investment will strengthen Batam’s position as a national digital industry hub. Batam’s advantages include its strategic location on international trade routes, its Free Trade Zone status, industrial infrastructure, and proximity to Singapore, a major data centre hub in Southeast Asia. This latest interest adds to the list of companies exploring data centre development in Batam. The government hopes such developments will attract not only physical infrastructure but also a broader digital industry ecosystem, including cloud computing services, artificial intelligence, and global technology firms. For now, BP Batam emphasises that all plans remain in the initial discussion phase, with technical and administrative aspects still under review before the investment can proceed to the commitment and construction stages.