India is emerging as a major data centre hub, driven by the increasing demand for AI and digital services. The country's data centre capacity is expected to expand from 1.5 GW in 2025 to 8-10 GW by 2030, with AI-driven expansion sharply increasing electricity demand.
The energy requirements for AI-linked data centres are substantial, with estimates suggesting an additional 40-45 terawatt hours (TWh) of power needed by 2030. This raises concerns about sustainability, as India's data centres currently consume around 0.5% of the country's electricity and 150 billion litres of water annually, projected to more than double by 2030.
To address these challenges, India is exploring renewable energy sources, such as solar and wind power, and implementing energy-efficient technologies. The government is also promoting sustainable data centre development through policies and incentives, aiming to balance growth with environmental responsibility.
As India navigates this critical juncture, it's essential to prioritize sustainability and resource management. The country's data centre growth presents an opportunity to lead in sustainable AI infrastructure, but it requires careful planning and execution.
