India’s economic expansion is strongly driven by digital adoption across the sectors, leading to a surge in data consumption. As businesses become increasingly reliant on virtual solutions, the need for robust data centres has become essential. With India poised to emerge as a global hub for cloud-focused data centres, it must address concerns related to security, scalability and performance, especially with the demands of today’s new workloads. As of October 2024, according to industry estimates, the country’s data centre capacity in major cities is 977 MW, which is projected to grow to 3.29 GW by 2028. This remarkable expansion highlights the pivotal role that data centres play in advancing India’s digital aspirations, establishing them as a fundamental component of the country’s infrastructure landscape.
Data centres, although essential for modern digital infrastructure, are energy-intensive, consuming large amounts of power, water and refrigerants, contributing to a significant environmental footprint and greenhouse gas emissions. In addition, climate change poses a threat to these centres, with hazards such as floods and rising temperatures requiring site-specific measures for resilience and protection. As the digital landscape evolves, it becomes crucial to mitigate climate risks and reduce the environmental impact of these facilities, making the greening of digital infrastructure vital for sustainable transformation.
Need for green data centres
According to the International Telecommunication Union, a green data centre can be defined as a repository for the storage, management and dissemination of data in which the mechanical, lighting, electrical and computer systems are designed for maximum energy efficiency and minimum environmental impact. A green data centre, thus, incorporates resilience and sustainability principles throughout its life cycle.
Currently, data centres account for approximately 3 per cent of global energy consumption. However, advancements by industry leaders and dedicated data centre operators have helped stabilise electricity demand while enhancing the value proposition of operating within a green data centre. These facilities are designed to optimise every aspect of their operation, from infrastructure and location to fittings and equipment.
Recent innovations in green data centres include the exploration of green power procurement models, allowing operators to harness renewable energy sources more effectively. Additionally, waste recycling initiatives have emerged, such as repurposing excess heat generated in data centres for use in nearby buildings, a practice successfully implemented by Bahnhof in Sweden. Furthermore, the integration of internet of things (IoT), artificial intelligence (AI) and machine learning (ML) technologies has proven effective in forecasting energy use and improving operational efficiency.
Google’s DeepMind AI has remarkably reduced its data centres’ cooling energy usage by 40 per cent and overall energy consumption by 15 per cent, achieving a power usage effectiveness as low as 1.12 through ML and renewable energy. Apple also powers its data centres with 100 per cent renewable energy, showing the viability of green efforts. Further, Facebook’s Luleå facility cuts 70,000 tonnes of CO2 emissions annually, while Microsoft explores innovative approaches such as underwater data centres, pointing to promising advancements in sustainable data infrastructure. These advancements underscore the potential for green data centres to lead the way towards a more sustainable digital future.
Choice of cooling technology
Data centre cooling technology significantly impacts both operational costs and overall system reliability while also influencing energy efficiency. As electronic equipment generates heat during operation, maintaining optimal temperatures is essential for ensuring proper function. The average modern data centre uses around 40 per cent of its power for cooling. Therefore, implementing the appropriate cooling systems is critical. The choice of cooling technology plays a vital role in balancing performance, cost-effectiveness and energy sustainability, making it a key decision in data centre management.
Air cooling is traditional and easy to implement but can be energy-intensive. Liquid cooling, which uses coolants to dissipate heat, is efficient but complex to manage. Immersion cooling submerges equipment in liquids, offering superior heat control but involves risks and high costs. Evaporative cooling leverages water evaporation for efficiency but depends on climate, while free cooling uses outside air to cut energy costs, though it is limited to cooler environments. Each method must balance efficiency, cost and environmental impact.
In recent times, the demand for cooling solutions in the Asia-Pacific (APAC) data centre co-location market has shifted towards air- and water-based systems, particularly in Southeast Asia, where operators favour water-based options due to the region’s tropical climate. This trend presents growth opportunities for rack infrastructure vendors, especially as the adoption of racks ranging from 42U to 52U in height increases. Some countries in the region are also utilising racks that are less than 42U tall.
Cloud computing and green data centres
Cloud computing has the potential to reduce energy use by allowing multiple users to share the same physical servers, leading to more efficient resource allocation. Centralising resources in data centres operated by cloud providers can reduce the energy demand compared to individual businesses running on-premises servers. Providers can optimise workloads, use dynamic resource allocation and adopt energy-saving technologies. However, cloud computing also contributes to the growth of global data centres and increased energy consumption, especially due to the energy-intensive process of data transfer between distant locations. Therefore, it is essential to identify the optimal balance that maximises the benefits of cloud computing while minimising its environmental impact.
Recent initiatives by key Indian players
Earlier this year, Nxtra, Bharti Airtel’s data centre subsidiary, announced plans to procure 140 GWh of renewable energy annually for its data centres in Tamil Nadu, Uttar Pradesh and Odisha. The company partnered with AmpIn Energy and Amplus Energy to establish solar and wind power projects with a combined capacity of 72.3 MWdc under 25-year agreements.
AdaniConneX, a joint venture between Adani Enterprises and EdgeConneX, secured $1.44 billion to develop renewable energy-powered data centres. Their goal is to establish a 1 GW platform that prioritises environmental and social responsibility.
Further, ST Telemedia Global Data Centres (STT GDC) stated that the firm’s total facility load is 400 MW across 21 operational data centres, located across 10 Indian states. It plans to add one to two centres annually. In 2023, STT GDC sourced 62.5 per cent of its energy from renewable sources, surpassing its 2026 goal of 60 per cent. The company achieved this through various initiatives, such as on-site renewable installations, green tariffs, power purchase agreements and offsets.
Furthermore, in Uttar Pradesh, CtrlS Datacenters has been securing power from recently commissioned solar projects. Developers have also signed contracts with other data centres in Karnataka and Andhra Pradesh.
Moving ahead, India’s plans for green data centres involve a strategic focus on renewable energy and advanced technologies. Data centre operators should prioritise partnerships with renewable energy providers to secure long-term contracts for solar and wind power, leveraging government incentives to enhance sustainability efforts. Additionally, adopting AI and ML solutions can optimise cooling systems and reduce energy consumption, while IoT devices can enable real-time monitoring of energy usage, ensuring maximum efficiency. Sustainable design practices, such as using eco-friendly materials and energy-efficient layouts, are essential for minimising environmental impact.
In sum
Data centres are typically cost-focused, and while greening them requires significant upfront investment, it results in reduced operational costs and enhanced efficiency over time. Beyond operational benefits, transitioning to green data centres offers additional advantages such as improved brand reputation and a stronger value proposition for clients. For many businesses, a strong ESG (environmental, social and governance) performance is key to decision-making. Hosting data in eco-friendly centres allows companies to pass sustainability benefits to their customers, positively impacting both business outcomes and the environment.
