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India to Roll Out Data Centre Policy Amid Power Cost Concerns

The Indian government is preparing a new policy for data centres. The move aims to manage the sector's growing electricity demand and its potential impact on consumer power bills.

14 October 2026
India to Roll Out Data Centre Policy Amid Power Cost Concerns

India's central government is developing a new policy for data centres, Minister of State for IT Jitin Prasada announced. The policy aims to address the sector's increasing electricity consumption and its potential effects on consumer electricity costs.

Prasada stated the need for such a policy, citing India's potential as a location for hyperscale data centres. However, concerns have been raised that the high energy demand from these facilities could divert power from consumers, leading to increased electricity bills.

The government is seeking to balance the expansion of data centres with environmental considerations. Efforts are underway to increase green power generation and implement water recycling technologies to mitigate environmental impact.

These concerns have already led to local opposition against some proposed data centre projects. In Thane, Maharashtra, residents protested Amazon's planned facility due to its significant power and water requirements. Google's new AI hub in Visakhapatnam has also faced community opposition.

Original source: inc42.com