Jakarta, INTI - PT PLN Batam is entering 2026 facing both its greatest challenge and its biggest opportunity, as surging electricity demand from the data center sector drives the company to accelerate infrastructure expansion while reinforcing Governance, Risk Management, and Compliance (GRC) as the foundation of its long-term growth strategy.
The company's Director of Finance, Risk Management, and Human Capital, Muhammad Romy Andri, highlighted this approach during the TOP GRC Awards 2026 on July 22, 2026.
According to Romy, 2026 marks a critical turning point for PLN Batam, as the company must choose between maintaining business as usual or pursuing a more ambitious path to support Batam's long-term economic development.
"We have to decide whether to remain in our comfort zone or take calculated risks that will drive Batam's future growth," Romy said.
Data Center Boom Drives Infrastructure Expansion
PLN Batam selected the theme "Supporting Customer Growth and Infrastructure Development through GRC Excellence" to reflect the unprecedented challenges it currently faces.
In addition to its existing business plans, the company has received electricity supply requests from three new data center projects, DayOne, Equator, and Altifa, joining Nongsa Digital Park, which signed its power purchase agreement in 2024.
These projects are expected to require up to 2,000 MW of electricity within the next three to four years, while PLN Batam's current generation capacity stands at approximately 900 MW. To meet future demand, the company's power system will need to nearly triple its capacity by 2029–2030.
Romy emphasized that achieving this level of expansion requires a faster and more strategic approach than traditional business practices.
"Business as usual is no longer sufficient. This is where GRC becomes essential," he explained.
GRC Guides Strategic Decision-Making
As a subsidiary of PT PLN (Persero), every strategic decision must comply with strong corporate governance principles.
PLN Batam has therefore embedded risk management and compliance into every stage of procurement, investment, and infrastructure development to ensure transparency, accountability, and sustainable growth.
The company currently serves nearly 400,000 customers, primarily from the residential sector, followed by commercial and industrial users.
Unlike PLN's parent company, PLN Batam does not receive government subsidies or compensation, requiring it to maintain financial sustainability despite rising gas prices, currency fluctuations, and increasing electricity production costs.
The growing data center market is viewed as a strategic opportunity, as premium electricity services for hyperscale facilities can generate higher margins while meeting international reliability standards.
According to Romy, additional revenue from data center customers will help maintain affordable electricity tariffs for households while supporting Batam's broader economic development.
Accelerating Power Infrastructure Development
To accommodate future demand, PLN Batam is accelerating the construction of new electricity infrastructure.
In addition to operating its existing power plants, the company is building a new combined-cycle gas turbine (CCGT) power plant, preparing additional generation projects, and advancing the selection of Independent Power Producers (IPPs) for future CCGT and coal-fired power plant developments.
In 2026 alone, PLN Batam plans to procure approximately 800 MW of new generation capacity.
All transformation initiatives are supported by an integrated Three Lines Model for GRC implementation, combining business operations, risk management and compliance, and internal audit functions to strengthen corporate oversight.
Additional governance is reinforced through legal, audit, risk management, and remuneration committees, ensuring every stage, from business planning and risk assessment to compliance, auditing, and performance evaluation, is fully integrated.
For PLN Batam, GRC extends beyond regulatory compliance to become a strategic tool for maintaining public trust and ensuring business resilience throughout its transformation.
"For us, GRC is not merely an administrative requirement, it is the foundation for public trust and long-term business sustainability," Romy concluded.
Looking ahead, PLN Batam believes that expanding electricity infrastructure for the rapidly growing data center industry will strengthen Batam's position as a regional digital economy hub while supporting sustainable economic growth and reliable electricity services for all customers.
Conclusion
PLN Batam's implementation of Governance, Risk Management, and Compliance (GRC) has become a key foundation in managing rapid business growth amid increasing electricity demand from the data center sector. Through stronger governance, accelerated infrastructure development, and integrated risk management, PLN Batam aims to ensure reliable power supply while supporting Batam's transformation into a strategic hub for the digital economy. The initiative also reflects the company's commitment to balancing business expansion, energy reliability, and sustainable economic growth.
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