Mentawai One
Mentawai One
24.5°C SIBERUT ISLAND
Place

SEZ Padang Extension

A 500–600 hectare special economic zone on the Sumatran mainland — positioned within Indonesia's SEZ regulatory framework, served by existing port and air infrastructure, and designed for integrated industrial operations anchored by geothermal baseload power.

Regulatory Framework

Special Economic Zone Designation

The SEZ Padang extension operates under Indonesia's national SEZ regulations, offering fiscal incentives including corporate income tax reductions, import duty exemptions, and streamlined permitting for qualifying industries. This framework materially reduces operating costs and accelerates project timelines for zone tenants.

Site Characteristics

Purpose-Built for Integration

The site is organised into functional districts connected by shared energy, water, and logistics infrastructure. Proximity to geothermal resources provides baseload renewable power at US$0.04–0.06 per kilowatt-hour — roughly 50 per cent below grid tariffs. Coastal access supports desalination and maritime logistics.

Mainland Separation

Industrial Activity Where It Belongs

By locating all industrial operations on the Sumatran mainland, the programme ensures that manufacturing, processing, and heavy infrastructure do not encroach upon the Mentawai islands. The strait provides a natural buffer, separating economic activity from the ecosystems and communities it funds and protects.

500–600ha
Zone area
US$0.04–0.06/kWh
Geothermal power cost
50%
Below grid tariff
6
Functional districts