To attempt to incentivise companies to build more energy- and water-efficient data centers, the Commission has proposed a rating scheme for facilities, to make this information more transparent.
Australia’s state of Victoria has banned the construction of data centers in residential areas and mandated that they must “bring their own renewable energy supply,” part of a slew of rules designed to tackle growing community pushback.
The European Commission proposed rules on Monday requiring data centers in Europe to disclose how efficiently they use energy and water, as concerns grow over their consumption of resources.
The EU wants to triple its data center capacity over the next seven years, to support the rapid development of artificial intelligence and attempt to cut reliance on US Big Tech.
That risks straining Europe’s energy grids, depleting water resources and increasing CO2 emissions, if the huge facilities’ use of energy and water is not controlled.
To attempt to incentivise companies to build more energy- and water-efficient data centers, the Commission has proposed a rating scheme for facilities, to make this information more transparent.
The scheme would not impose limits on their energy and water use or require data centers to disclose their total power use, but would require operators of facilities with a capacity of 500 kW to disclose their energy and water efficiency using an EU-designed labeling system.
Data centers would also have to disclose information on the relationship between their water use and levels of water stress in the local area, and whether they are able to offer services to the local energy system, such as by re-using their waste heat.
The new label could serve as a precursor for mandatory minimum standards on data centers’ water and energy efficiency in Europe, which the EU is developing.
Data centers currently account for around 2.5% of EU electricity consumption, the EU said in a report in June.
That share is expected to jump, as EU data center capacity is expected to more than double by 2030, to 28 gigawatts compared with 12 GW last year.
EU countries and lawmakers have two months to object to the rules, or they will enter into force.
Meanwhile,one of Australia’s largest states has banned the construction of data centers in residential areas and mandated that they must “bring their own renewable energy supply,” part of a slew of rules designed to tackle growing community pushback.
The state of Victoria, home to Melbourne, announced on Tuesday that while data centers were vital to the economy, they would need to take steps to ensure local water and electricity resources were not significantly impacted.
Center-left Labor Premier Ben Carroll will require data centers to match new energy demand with additional generation, paying costs for network upgrades. They will also be required to use only recycled or non-drinking water for cooling.
In addition, data centers will not be allowed in residential areas, with a mandatory buffer zone of 150 meters (164 yards) from any houses.
Prime Minister Anthony Albanese has been pushing for national standards for data centers, attempting to balance taking advantage of the boom in demand with appeasing concerns in local communities. Westpac Banking Corp. estimated that the surge in spending on data centers could be as much as A$225 billion ($160 billion), with the majority in the next three years.