Malaysia to require data center operational disclosures by law
Malaysia is tightening oversight of the data center sector, with the government planning to make operational disclosures a legal requirement. These include details such as electricity consumption, the number of GPU chips imported, the identities of operators and hyperscalers, and the location of each facility.
Highlights
- The Malaysian government will require data center operational disclosures by law to enable oversight of a sector that now has 117 approved projects.
- Of the 117 data center projects in Malaysia, 55 have begun operations, highlighting the need for ongoing monitoring of operators and facility locations.
- Johari Abdul Ghani stressed that data center operators need to determine their actual electricity capacity requirements, as suppliers will charge for the full capacity even when it is unused.
This article was translated from the original. Read the original version by our correspondent here.
Disclosure requirements for operational oversight
The Edge Malaysia reported that Minister of Investment, Trade and Industry Datuk Seri Johari Abdul Ghani said requirements to disclose data center operational information would be incorporated into law, enabling the government to continuously monitor the sector's operations.He said the government needs to know the operators and hyperscalers for each data center, as well as the location of every facility. Johari said 55 of the 117 approved data center projects have begun operations, and monitoring must continue after approval is granted.
He made the remarks in a speech at the launch of the MySaham mobile app by the Ministry of Investment, Trade and Industry in Kuala Lumpur on Thursday.
Implications for energy supply and the sector
On electricity supply, Johari said data center operators need to determine their actual capacity requirements, as suppliers must allocate the capacity agreed upon in supply agreements.He gave the example of a data center reserving 100 megawatts but using only 50 megawatts: the unused 50 megawatts would still be charged for. The statement indicates that the government wants capacity planning and energy use in the data center industry to be more precise as the sector continues to grow in Malaysia.
Previously, we highlighted a proposal for user-pays electricity pricing for data centers and energy-intensive industries in Malaysia.
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