Indonesia pauses BDx AI data center project over permits
Authorities in Indonesia have temporarily halted BDx's AI data center project in Purwakarta due to incomplete permits. Construction cannot resume until environmental and building approvals are finalized.
Indonesian authorities have temporarily halted construction on an artificial intelligence (AI) data center project by Singapore-headquartered BDx in Purwakarta, West Java. The halt is due to incomplete essential permits, including an environmental impact assessment (AMDAL) and building approval (PBG).
Local officials confirmed that BDx must complete these critical permits before construction can resume. Purwakarta Regent Saepul Bahri Binzein stated that the AMDAL assessment is necessary to determine the potential severity of the project's environmental impact. The regency administration is currently awaiting discussions with BDx's AMDAL consultant regarding the document.
The project also involves significant water usage, with initial demand estimated at 6,000 cubic meters per day. Future phases project a demand of approximately 33,000 cubic meters daily. While provincial authorities handle oversight and coordination, the Purwakarta regency government holds the authority for issuing permits.
The development underscores the regulatory hurdles faced by large-scale data center projects, particularly those focused on AI, which require substantial resources. BDx must now comply with the permit requirements to move forward with the project.