The data centre industry is witnessing exponential growth, driven by the increasing adoption of cloud-based services, AI, ML, and cryptocurrency trends. By 2030, the number of data centres is expected to reach over 24,000 globally, with a compound annual growth rate of 12%. This rapid expansion is posing a significant challenge to grid infrastructure, as data centres are estimated to consume 2,477 Terawatt Hours of electricity by 2030.
The energy-intensive nature of data centres, particularly the power-hungry GPUs and cooling systems, accounts for 80% of the sector's energy demand. Generative AI applications and training models already use 10-20% of data centre electricity, adding to the strain on the grid.
“Compute power of power-hungry GPUs and cooling are the most energy-intensive processes within the data centre, amounting to 80% of the energy demand. Integrating new retrofit technology into existing data centre infrastructure and responsible compute are critical to reduce demand on the grid, restrain the surge in energy demand, and limit Scope 1-3 emissions,” explains Rithika Thomas, sustainable technologies senior analyst at ABI Research.
Greening data centres is crucial for sustainable digital transformation and meeting climate goals. Governments play a vital role in enabling this transition through policies, incentives, and regulations that promote renewable energy sources, efficient cooling, and responsible e-waste management.
Data centre operators are actively implementing various strategies to address the environmental impact, including onsite microgrids, power management techniques, infrastructure virtualization, and heat recovery. Leading tech companies, such as Google, Microsoft, and Amazon, are collaborating with data centre and utility operators to improve operations and promote responsible consumption.
Achieving net-zero emissions for data centres is a continuous journey, requiring the use of industry-specific sustainability frameworks, adherence to climate goals, and the integration of emerging technologies. By embracing sustainability, the data centre industry can reduce its carbon footprint and contribute to the global fight against climate change.
