Indonesia pauses major data-center project over water-use concerns near Jakarta

Indonesia is racing to become a key player in the global AI surge, but the water-intensive data-center model is straining local supplies. In West Java, a 640-MW complex slated for Purwakarta by Singapore-based BDx Data Centers would pull 6,000 cubic metres of water each day from the Jatiluhur Dam, the main source of drinking water for Jakarta and irrigation for the province’s rice belt. Governor Dedi Mulyadi halted the project, citing an absent comprehensive environmental impact assessment and heightened anxiety during this year’s El Niño-induced drought.

The governor’s decision follows his attendance at the groundbreaking ceremony only two months earlier. Parallel disputes have surfaced in the Riau Islands, where Batam residents protest that upcoming data-center sites are depleting household water supplies, though officials argue the facilities are not yet operational and blame the prolonged dry season. These conflicts highlight the environmental challenges of expanding digital infrastructure without robust oversight.