Digital InfrastructureApril 14, 20263 min read

Telkom and PGN Power Up: Building the Future of Low-Carbon Green Data Centers

Intan from Orbitcore

Intan

from Orbitcore Editorial

The digital landscape is changing, and sustainability is no longer just a buzzword—it is a core operational requirement. In a landmark move for Indonesia's tech sector, PT Telkom Indonesia (Persero) Tbk (Telkom) and PT Perusahaan Gas Negara (Persero) Tbk (PGN) have officially joined forces. Through a recently signed Memorandum of Understanding (MoU), these two industry giants are set to integrate digital infrastructure with low-carbon energy supplies, marking a massive leap toward a greener future.

A Strategic Alliance for Sustainability

The collaboration was formalized by Telkom CEO Dian Siswarini and PGN CEO Arief Kurnia Risdianto in Jakarta. This partnership isn't just a simple business deal; it is a strategic alignment designed to support the development of sustainable green data centers. By leveraging clean energy sources, specifically biomethane, the goal is to create a digital ecosystem that is both powerful and environmentally responsible.

This synergy brings together two distinct strengths. Telkom acts as the architect of the digital ecosystem and data center development, while PGN serves as the provider of low-emission energy. This ensures that as Indonesia’s data needs grow, the energy required to power those needs comes from cleaner sources.

The Power of Biomethane

One of the most fascinating aspects of this collaboration is the use of biomethane. Sourced from palm oil waste in Sumatra, this renewable energy will be funneled into TelkomGroup’s data center operations. The scope of the agreement covers everything from joint feasibility studies to exploring the implementation of green energy across the data center ecosystem, both domestically and internationally.

By securing a steady stream of sustainable energy, Telkom is ensuring that its next generation of data centers will be highly efficient and ready to meet global environmental standards. This is a critical step in making sure that Indonesia’s digital expansion doesn't come at an unsustainable environmental cost.

Strengthening the Regional Digital Hub

Bhimo Aryanto, Senior Director of Business Performance and Assets Optimization at Danantara Indonesia, highlighted that this collaboration is a strategic momentum for cross-sector synergy. Integrating the digital and energy sectors does more than just create efficiency; it creates new value and strengthens Indonesia's position within the regional digital ecosystem.

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Telkom CEO Dian Siswarini emphasized that this move is about building reliable and sustainable national digital infrastructure. By preparing clean energy sources for data centers today, Telkom is pushing Indonesia to become a legitimate regional digital hub.

Strategic Locations and Global Reach

Domestically, TelkomGroup has identified five strategic locations for data center development that are poised to benefit from PGN’s energy supply: Cikarang, Batam, Serpong, Sentul, and Surabaya. These areas are already connected to PGN’s existing gas pipeline network, allowing for the optimization of current infrastructure to deliver green energy efficiently.

However, the vision extends far beyond Indonesian borders. TelkomGroup is also expanding its global footprint by partnering with Sembcorp Development Ltd. Through its data center entity, NeutraDC, this partnership focuses on integrating digital infrastructure with sustainable energy services. This combination of domestic and international collaboration is designed to create a comprehensive ecosystem that supports the development of AI-ready green data centers.

Transforming the Energy Sector

For PGN, this partnership marks a significant step in its own transformation. PGN CEO Arief Kurnia Risdianto noted that the company is evolving from a conventional natural gas provider into a low-carbon energy provider. Biomethane is a cornerstone of this shift, serving as a foundation for the infrastructure of the future.

This MoU is a strategic milestone for TelkomGroup as it solidifies its role as the engine of the national digital ecosystem. Simultaneously, it reaffirms PGN’s commitment to providing the low-carbon energy required to power the technological advancements of tomorrow. Together, they are setting a new standard for how technology and energy companies can work together to build a sustainable future.

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