Indonesian Political, Business & Finance News

Green energy for the national green data centre

| Source: ANTARA_ID Translated from Indonesian | Energy
Green energy for the national green data centre
Image: ANTARA_ID

The 2025–2035 General Plan for National Electricity Supply (RUPTL) should be understood not merely as an electricity provision plan, but as a strategic state instrument and roadmap towards a sustainable digital economy.

Jakarta (ANTARA) - Indonesia’s digital transformation is entering a new phase marked by a crucial surge in digital technology activity, spanning cloud computing, big data, and the provision of systems and applications based on artificial intelligence (AI).

This transformation has changed the face of industry and electronic-based public services, elevating data centre development from a mere information technology facility to a nationally strategic infrastructure requirement.

In this data centre context, the sustainability of digital ecosystem growth is no longer solely determined by the availability of technology, networks and software, but is highly dependent on the readiness of low-emission electricity supply to meet ongoing energy needs.

To address these changing requirements, the Government of the Republic of Indonesia has positioned digital transformation as one of the national development priorities, as set out in the 2024–2029 National Medium-Term Development Plan (RPJMN 2024–2029).

Through this agenda, digital transformation is expected to play an important role in boosting productivity across sectors, from the economy and industry to education and public services.

However, behind these aspirations lies a structural challenge that cannot be ignored: the massive and continuous energy consumption demands of data centres.

If these requirements are not managed tactically and strategically, they could lead to environmental pollution and an increase in the national carbon footprint. Consequently, digital transformation based on data centre expansion and development must be accompanied by an energy development strategy.

Globally, data centres are recognised as having the fastest-growing and largest-scale electricity consumption. The International Energy Agency (IEA) has noted that electricity consumption by data centres and data transmission networks has reached approximately 1 to 1.5 per cent of total global electricity consumption and is projected to continue rising as the use of AI-based technologies becomes increasingly widespread.

Data centres have unique characteristics and can be categorised as large-scale, continuous electrical loads. Hyperscale facilities can absorb power of up to tens or hundreds of megawatts. Nevertheless, data centres are also required to achieve high levels of efficiency, generally measured through the Power Usage Effectiveness (PUE) indicator.

Cooling technology innovation, the use of artificial intelligence in energy management, and the integration of energy storage systems are all part of data centre development efforts to achieve efficiency, reliability, and low-emission targets.

For Indonesia, data centre development presents a more complex challenge because the national electricity system remains dominated by fossil fuel-based power generation. Without a sustainable energy transition, the growth of data centres to meet public demand will have a direct impact on increased indirect emissions (scope 2 emissions) if the electricity supply continues to be dominated by fossil fuel use.

For this reason, the data centre issue cannot be separated from the renewable energy transition agenda.

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