Digital InfrastructureApril 27, 20263 min read

PLN Secures Indonesia's Largest Ever Power Deal for DayOne's Massive Batam Data Center

Fajrin from Orbitcore

Fajrin

from Orbitcore Editorial

The digital landscape in Indonesia just hit a massive milestone. In a move that solidifies Batam’s position as a rising global tech hub, PT PLN (Persero), through its subsidiary PT PLN Batam, has officially signed the largest Power Purchase Agreement (PJBTL) for a data center in the country’s history. This landmark deal is set to supply a staggering 511 Megavolt Ampere (MVA) of electricity to PT Digitalland Service One (DayOne) for their upcoming project in the Kabil Industrial Estate.

The agreement, finalized at the Auditorium Balairung Sari, Batam Indonesia Free Zone Authority (BP Batam), marks a turning point for the region’s infrastructure. It isn't just a contract for power; it’s a clear signal to the global tech community that Indonesia is ready to host the high-performance computing and cloud infrastructure needed for the next generation of digital services.

Batam’s Evolution into a Global Digital Hub

Batam is no longer just an industrial island; it is rapidly transforming into a strategic centerpiece for international investment. Amsakar Achmad, the Head of BP Batam and Mayor of Batam, emphasized that infrastructure readiness is the absolute key to attracting global players. By integrating land availability, reliable energy, and legal certainty, Batam has managed to stay highly competitive within the Southeast Asian region.

According to Amsakar, BP Batam is fully committed to fostering a conducive investment climate. This involves accelerating permit processes and ensuring that integrated supporting infrastructure is ready to go. The entry of a large-scale data center like DayOne proves that Batam is effectively prepared to function as a global digital hub, bridging the gap between regional demand and world-class supply.

The SIJORI Strategy and Regional Expansion

For DayOne, this expansion is a calculated move within a much larger vision. CEO Jamie Khoo explained that their presence in Batam is a critical pillar in their strategy to build one of Asia’s leading digital infrastructure platforms. The company’s continuous development across Batam—stretching from the Nongsa Digital Park to the Kabil Industrial Estate—highlights the island's increasing strategic importance to DayOne’s regional ecosystem.

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Khoo further elaborated on the "SIJORI" (Singapore-Johor-Riau) model. This concept aims to create an integrated, cross-border data center platform across Southeast Asia. As the demand for cloud services and advanced AI computing grows across the Asia Pacific, DayOne is positioning itself to provide high-performance, large-scale data center services that can meet these evolving technical requirements from a centralized, highly connected location like Batam.

Electricity as the Engine of Economic Growth

From a national perspective, the reliability of the power grid is the foundation of industrial sustainability. PLN President Director Darmawan Prasodjo pointed out that providing affordable and dependable electricity does more than just keep the servers running; it creates a powerful multiplier effect for the national economy.

Electricity is the primary driver of modern industry. By ensuring a robust and resilient electrical infrastructure, PLN is not only safeguarding industrial activities but also creating a stable environment for investment that leads to significant job creation. This sentiment was echoed by Kwin Fo, President Director of PT PLN Batam, who assured that their system is fully prepared to handle high-capacity clients like DayOne. With a focus on supply adequacy and service quality, PLN Batam aims to contribute tangibly to the local economy and ensure that Batam remains the top choice for digital infrastructure investors.

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