Peninsular Malaysia's data centre peak power demand is expected to reach 8.39GW by 2030
Electricity supply planning in Peninsular Malaysia is now taking into account the rapid growth of data centres, with Johor and Selangor emerging as the main hubs for new capacity. By 2030, the industry's peak power demand is projected to reach 8.39GW, while water demand in these two key states will also rise in line with the expansion of operations.
Highlights
- Peak power demand from the data centre industry in Peninsular Malaysia is expected to reach 8.39GW by 2030, with Johor recording 4.42GW and Selangor 1.48GW.
- As of August, 45 data centres had been completed and were operational in Peninsular Malaysia, with a combined electricity supply capacity of 6.04GW provided by Tenaga Nasional Bhd.
- Data centre water demand in Johor and Selangor is projected to reach 389.04 million litres per day by 2030, compared with current usage of 63.90 million litres per day.
This article was translated from the original. Read the original version by our correspondent here.
Demand projections and current capacity
As reported by The Edge Malaysia, citing the Ministry of Energy Transition and Water Transformation, peak electricity demand from the data centre industry in Peninsular Malaysia is projected to reach 8.39GW by 2030 based on current electricity supply planning estimates.Of that total, Johor is expected to record the highest demand at 4.42GW, followed by Selangor at 1.48GW. The ministry said both states are major hubs for data centre development and require electricity supply infrastructure planning that takes expected demand growth into account.
Petra was responding to a question from Onn Abu Bakar, the Pakatan Harapan Member of Parliament for Batu Pahat, on projected electricity and water demand from the data centre industry through 2030, particularly in Johor and Selangor, as well as the number of completed data centres. As of August, 45 data centres had been completed and were operational in Peninsular Malaysia, with a combined electricity supply capacity of 6.04GW.
This capacity refers to the electricity supply provided by Tenaga Nasional Bhd through the national grid to support data centre operations.
Implications for utilities in Johor and Selangor
In addition to pressure on the electricity network, data centre water demand in Selangor and Johor is projected to reach 389.04 million litres per day by 2030.However, actual water usage currently reported to the National Water Services Commission stands at 63.90 million litres per day. The gap between current usage and the medium-term projection highlights the need for more rigorous utility planning as data centre investment continues to concentrate in the two states.
In our previous coverage of the proposed “user-pays” electricity pricing system for major users such as data centres, we explained the government's rationale for ensuring energy-intensive users bear a fairer share of supply costs while curbing pressure on household bills. The article also covered the factors driving higher generation costs and incentives to shift to time-of-use tariffs to manage demand, as the government assesses the impact of surging electricity consumption on grid infrastructure.