Government reviews data centres’ electricity and water requirements
The Energy Commission is examining electricity needs because the capacity sought by data centres exceeds their consumption, the deputy minister said.
Malaysia is reviewing how much electricity and water data centres need through the Ministry of Energy Transition and Water Transformation (Petra), Deputy Minister Datuk Seri Abdul Rahman Mohamad told the Dewan Rakyat on Oct 13.
Abdul Rahman said the Energy Commission (ST) was examining electricity requirements because data centres consume less power than the capacity they request. He was answering Datuk Seri Tuan Ibrahim Tuan Man (PN-Kubang Kerian), who asked about new clean generation capacity expected by 2030 and capacity contracted under data centre electricity supply agreements.
The deputy minister said investment assessments should weigh public and national benefits alongside the substantial investment involved. While the government supports the need for artificial intelligence (AI) data centres, he said reviews must consider the data being handled and the facilities’ power and water use.
Responding to Azli Yusof (PH-Shah Alam), Abdul Rahman said power demand was particularly high in southern Peninsular Malaysia. Operators may explore supplying their own electricity using solar energy or battery storage systems, he said. ST oversees licensing, with assessments required to consider both investor and national interests.
