Indonesia is currently at a critical crossroads in the development of its data center industry. On one hand, digital transformation, cloud adoption, the rise of AI, and the imminent arrival of 5G are driving demand for data centers higher than ever. On the other hand, rising energy consumption which remains heavily dependent on coal power poses a serious challenge to environmental sustainability.
The podcast “Standards, Challenges, and Opportunities in Optimizing Green Data Centers in Indonesia,” produced by Nusantara Data Center Academy, discusses the steps toward establishing a national Green Data Center standard. The episode is hosted by Sari Oktaviani and features two prominent figures:
- Hendra Surya Kusuma – Co-founder and Chairperson of ID Pro (Indonesia Data Center Provider Organization), Country Director of Faset Indonesia, and CEO of Data Sinergi Utama Jaya, the first Tier 3 certified data center in Indonesia.
- Gatot Prawiro – Chairperson of the Industry Working Group of Mas Key and Chief Business Development Officer of Max Power Group, with over 36 years of experience in the energy sector.
The Pillars of Green Data Centers in Indonesia
Since 2019, BSN (National Standardization Agency), Kominfo, and industry stakeholders have issued SNI 8799, the first national standard for Green Data Centers. This standard focuses on four main pillars:
- Energy and carbon emission management, which covers how energy consumption is monitored and reduced.
- Energy efficiency, involving people, processes, and technology to reduce electricity usage.
- Water efficiency, through guidelines for careful and measured water use.
- Environmental impact, an often overlooked but critical aspect for long term sustainability.
Hendra emphasized that although this standard already exists, the majority of data centers in Indonesia still rely on electricity from coal fired power plants because it is considered the cheapest option.
Industry and Regulatory Collaboration
Standardization efforts cannot stand alone. Collaboration between ID Pro, Maskey, Kominfo, and BSN continues to develop a certification scheme known as Gerindasan with three levels: Basic, Natural, and Advanced.
Currently, many data center providers in Indonesia still refer to international standards such as Green Mark Singapore or Tier Classification. However, these standards focus more on mechanical, electrical, and cooling infrastructure. Meanwhile, the aspects of energy consumption and environmental impact, which are crucial to Indonesia’s context, have not been fully accommodated.
Technological Innovations Already Applied
Several industry players have begun adopting environmentally friendly technologies, including:
- A 35 hectare solar farm combined with biomass, producing around 40 MW of clean energy.
- Gas engines with absorption chillers for more efficient cooling.
- Direct cooling in server racks and trials of liquid immersion cooling for processors.
- Machine learning and predictive analytics to automatically shut down unused equipment.
These innovations help reduce Power Usage Effectiveness (PUE) and lower the carbon footprint. However, technical challenges such as permits for gas engine installation and limited space remain obstacles.
Challenges in Adopting Green Data Centers
Although the technology is available, the implementation of Green Data Centers still faces several challenges. Among them are:
- The absence of fiscal incentives such as those provided in the United States or Johor Bahru, Malaysia.
- High electricity costs, which can account for up to 76 % of total operating expenses.
- Dependence on PLN, whose electricity supply is still dominated by coal, limiting access to renewable energy.
- Import taxes and complex regulations for high tech equipment.
- Operators’ main focus on uptime and reliability, while energy management has not yet become a priority.
Without government support in the form of incentives, many operators will struggle to fully adopt green technologies.
Renewable Energy and the Future
Technically, data centers can achieve 100 % reliance on renewable energy. Several options that have already been tested include:
- Large scale solar farms combined with biomass.
- Mini hydro plants with capacities ranging from 750 kW to 35 MW.
- Cogeneration systems capable of achieving up to 95 percent efficiency.
- Small Modular Nuclear Reactors (SMRs) capable of generating 10 to 20 MW of stable electricity for six years without refueling.
These technologies have the potential to become part of Indonesia’s future energy mix, although cost and regulatory challenges must still be addressed.
The Long Road to Green Data Centers
Hendra emphasized that data centers are the backbone of Indonesia’s digital economy. Without clear national standards, the risks of inefficiency and fragmentation will only increase.
Gatot added that the government must be present not only as a regulator but also as a partner. Mechanisms of reward and punishment, fiscal incentives, and stronger regulations are needed so that the industry will not hesitate to invest in green solutions.
Conclusion: Time to Get Serious about Green Standards
Data centers are the backbone of our digital economy. Without clear green standards, the risks of inefficiency and environmental impact will only grow.
The podcast highlights several key recommendations:
- The government needs to strengthen regulations, including revising PP 82/2012 and PP 71/2019.
- Provide fiscal incentives such as tax holidays or tax credits.
- Encourage the implementation of reward and punishment mechanisms for adopting green standards.
- Enhance collaboration between government, industry, and data center associations.
Green Data Centers are not only about energy efficiency but also about the sustainable future of Indonesia’s digital economy. With regulatory support and innovation, Indonesia has the potential to become a leader in Green Data Centers in Southeast Asia.
For more details, listen directly to the podcast on YouTube Nusantara Academy and don’t forget to register for training by contacting https://wa.me/6285176950083
