Jakarta, INTI - Rahmat Saleh, a member of Commission VI of Indonesia’s House of Representatives (DPR RI), has urged the government to ensure that planned investments by nine artificial intelligence (AI)-based data center companies in the Riau Islands (Kepri) deliver tangible benefits to local communities. These benefits should include local employment, infrastructure development, and effective environmental impact management.

Rahmat revealed that most of the companies planning to invest in the region are from China, with one company reportedly proposing an investment worth nearly IDR 250 trillion.

However, he cautioned that large investment figures do not necessarily translate into a proportional number of jobs.

Rahmat made the remarks during a recess working visit by Commission VI of the DPR RI, together with state-owned enterprise (SOE) partners and the Riau Islands Provincial Government, at the Regional Government Building in Tanjungpinang on Friday, October 9, 2026.

“We must not become mere spectators while AI products are sold around the world, with our role limited to hosting data centers and our young people left without opportunities,” Rahmat emphasized.

DPR Highlights Nearly IDR 250 Trillion in Planned Data Center Investment

Rahmat said the planned entry of nine major AI companies represents a significant investment opportunity that must be managed carefully.

According to him, the data center industry differs from labor-intensive sectors because workforce requirements during construction may differ substantially from those needed once facilities become operational.

“We recently heard from the State-Owned Enterprises Regulatory Agency and SOE representatives that nine major AI companies are expected to enter the market, most of them from China. One company alone has an investment value approaching IDR 250 trillion. However, such a large investment does not necessarily translate into proportional job creation,” Rahmat said.

The Prosperous Justice Party (PKS) politician urged the government to look beyond the total investment value and assess the economic benefits delivered to local communities.

He argued that technology industry development should create opportunities for Indonesia’s younger generation to participate in the businesses established by investors.

Government Urged to Secure Employment Opportunities for Young People in Kepri

Rahmat called on the government to strengthen its bargaining position when establishing investment requirements for data center companies.

These requirements, he said, should include employment opportunities for local workers and initiatives to improve human resource capabilities.

“First, we must have strong bargaining power with every investor to ensure that young people in Kepri and throughout Indonesia have opportunities to work. We must not allow ourselves to become mere spectators once these companies begin operating,” he said.

Rahmat stressed that technology investments should generate added value for local communities rather than simply turn the Riau Islands into a location for new facilities.

He also advocated skills development programs to help Indonesian workers participate more actively in the AI industry.

Data Center Investors Urged to Contribute to Infrastructure Development

Beyond employment, Rahmat called on companies investing in the Riau Islands to contribute to regional infrastructure development.

He argued that infrastructure needs should not depend solely on the state budget, known as the State Revenue and Expenditure Budget (APBN).

“Every investor entering the region should also play a role in development. We should not rely solely on the state budget but ensure that the benefits of development and incoming investments are reflected in infrastructure improvements, including energy, water, and other essential facilities,” he explained.

Rahmat emphasized that data center development requires adequate supporting infrastructure, particularly reliable electricity and water supplies.

These resource requirements must be considered from the planning stage to prevent problems for local communities and the environment.

“We hope these investments will contribute to public welfare through economic growth, job creation, and measures to anticipate environmental impacts and address potential problems. These companies require substantial amounts of water and energy,” he added.

DayOne and PLN Batam Prepare 511 MVA of Electricity Supply

One development in the Riau Islands’ data center investment landscape is the partnership between DayOne and PLN Batam, established in April 2026.

The collaboration aims to meet the electricity requirements of data center facilities in the Kabil area of Batam.

According to information from the Batam Free Trade Zone and Free Port Authority (BP Batam), as reported by the DPR RI, the planned electricity supply has a capacity of 511 megavolt-amperes (MVA), equivalent to approximately 450 megawatts (MW).

The electricity supply is scheduled to be provided in stages throughout 2026 and 2027.

The substantial energy requirements are among the reasons Rahmat has called for data center investments to be managed with careful consideration of infrastructure readiness and environmental impacts.

DPR Commission VI Calls for Specific Regulations on Data Center Investment

Rahmat urged the central government, the Riau Islands Provincial Government, and BP Batam to strengthen coordination in regulating data center investments.

He said clear regulations are necessary to govern investment mechanisms and ensure that companies fulfill their responsibilities toward communities and the environment.

“Therefore, we are reminding all stakeholders from the outset, including the regional government in the Riau Islands, BP Batam, and the central government. We have examined this issue in greater depth, and specific regulations governing future investment mechanisms are indeed necessary,” he said.

Rahmat expressed hope that such regulations would ensure investment growth goes hand in hand with job creation, regional development, and sustainable resource management.

Ultimately, the Riau Islands should not merely become an operational base for global technology companies but should also benefit from greater economic opportunities and improved community welfare through these investments.

Conclusion

Indonesia’s planned AI data center investments in the Riau Islands, potentially worth nearly IDR 250 trillion, present significant economic opportunities. However, maximizing their benefits will require stronger local employment commitments, infrastructure development, clear investment regulations, and responsible management of energy, water, and environmental impacts.

Read more: AI and Energy Transition Create Investment Opportunities, Highlighting Indonesia’s Need for Skilled Talent