In the late 1980s, the Singaporean and Indonesian governments entered into a Framework Agreement to promote and enhance the economic growth of Singapore and Batam. The close proximity of the two cities facilitated the flow of talent and technology from Singapore to Batam, and the return of manufactured goods from Batam to Singapore for exporting to the rest of the world. Sembcorp was entrusted to create a new urban development model to support this. And thus began our story in Indonesia.
In 1990, we launched Batamindo Industrial Park in the Riau Islands, the first of three industrial parks over the next three decades, developing over 2,200 hectares of land that brought in foreign investments worth S$4.7 billion and near 100,000 jobs.
In 1995, we built a water treatment plant in Batam providing clean potable municipal water to industrial, commercial and domestic users. We also commenced the importation of piped natural gas from West Natuna in 2001, enabling us to become Singapore’s largest natural gas supplier.
Scaling up our commitment to supporting Indonesia’s pursuit of sustainable development, we entered the Indonesian energy market in 2022 and established PT Sembcorp Energy Indonesia.
The following year, we signed a Joint Development Study Agreement with Indonesian state-owned utility company PT PLN (Persero) to explore the feasibility of green hydrogen production in Indonesia.
As Indonesia’s close-knit neighbour and long-term investment partner, we remain committed to driving decarbonisation outcomes and contributing to more clean energy projects across Indonesia.