Major Investment for Sustainable Development
Aslan Energy Capital, a Singapore-based clean energy infrastructure developer, has announced plans to develop a USD2.3 billion green energy and mobility city in Karimun Regency, Riau Islands, Indonesia. The project, officially named 'MU CITY - a City of Dynamic Innovation in Energy, Mobility and Urbanisation,' is set to become the largest single investment in Karimun to date. A Heads of Agreement was signed with the Government of Karimun Regency on November 24, 2025, marking a significant step towards accelerating Southeast Asia's transition to a low-carbon, digital, and inclusive future.
Integrated Hubs for Clean Energy and Advanced Technology
Spanning an expansive 4,000 hectares, MU CITY is designed to be one of Southeast Asia's largest integrated sustainable energy ecosystems. The city will be powered by a substantial 2 gigawatts (GW) of solar power, complemented by an additional 2 GW of gas-based power. The project integrates three core development zones:
- Clean Energy Hub: This hub will feature large-scale solar power plants, advanced battery energy storage systems (BESS), LNG import facilities, combined cycle gas turbines (CCGTs), and blue ammonia tank complexes. Its purpose is to support domestic decarbonization efforts and facilitate regional energy exports.
- Green Mobility and Manufacturing Complex: Focused on sustainable transportation and industrial production, this zone will host electric vehicle (EV) assembly, battery production, AI chip ecosystems, and green industrial manufacturing.
- AI and Digital Infrastructure Zone: This area is specifically designed to power up to 1.21 GW of hyperscale data center capacity. These data centers will be purpose-built for artificial intelligence, cloud computing, and high-performance digital workloads, all operating on the renewable energy generated within MU CITY.
Empowering Local Communities and Regional Exports
The development of MU CITY is strategically located at the crossroads of Singapore, Malaysia, and Indonesia, positioning it as a regional gateway for clean energy, green manufacturing, advanced e-mobility, and data-driven intelligence. A portion of the generated power will supply local industrial zones, data campuses, and manufacturing clusters within MU CITY, with surplus electricity allocated for export to ASEAN nations, reinforcing Indonesia's role as a regional energy provider.
Muthu Chezhian, CEO of Aslan Energy Capital, emphasized the project's inclusive approach, stating, 'MU CITY is a living example of how clean energy, digital innovation, and inclusive prosperity can thrive together. By empowering local communities to participate directly, we are proving that sustainability can be both profitable and people-centred.' The company plans to implement a cooperative development model, expecting over 10,000 residents to benefit through profit-sharing, equity participation, education programs, and technical training. Ing. H. Iskandarsyah, the Regent of Karimun, echoed this sentiment, noting that the project 'not only brings clean technology and energy, but also opens up opportunities for employment, education, and ownership for the people of Karimun.'
5 Comments
Kyle Broflovski
It's great to see Indonesia attracting such significant foreign investment and aiming for a leadership role in green technology. Yet, the long-term implications of building a massive 'city' from scratch, including resource consumption and waste management, need continuous scrutiny.
Stan Marsh
Finally, a massive project focused on sustainable energy and local empowerment. Fantastic!
Kyle Broflovski
The vision for a low-carbon, digital, and inclusive future is inspiring, and the project's components are impressive. But relying on significant gas power alongside solar means it's a transitional solution, not a purely renewable one, which could be a missed opportunity for a truly pioneering green city.
Stan Marsh
The promise of 10,000 residents benefiting through profit-sharing and training is excellent, but rigorous oversight will be needed to ensure these benefits are genuinely inclusive and sustained for the local population. Large-scale projects often fail to deliver on local prosperity.
Eric Cartman
Another foreign company promising riches. Will the 10,000 residents *really* benefit long-term?