Singapore promotes green data centres as AI demand strains energy

In brief-notes

  • The city-state established a green data centre strategy on Thursday to assist its digital economy goals as AI and computing demand rises.
  • The programme seeks “green energy deployments” to add 300 megawatts of capacity in the short term and more.
  • Energy demand has surged alongside AI demand. This has strained national energy networks, which must be handled temporarily, according to a Wednesday analysis by the Tony Blair Institute for Global Change. 

In Singapore, Singapore is actively advocating for the development of environmentally-friendly data centres in response to the surging demand for artificial intelligence, which is placing a significant burden on energy resources.

In a move to bolster its digital economy and meet the increasing demand for AI and computing, the city-state unveiled a new green data centre roadmap on Thursday.

“The increasing demand for digital and AI compute will drive the need for more data centre capacity,” stated Senior Minister of State for Communications and Information Janil Puthucheary during a recent announcement.

The roadmap is set to deliver a minimum of 300 megawatts of extra capacity in the near future, along with further expansion through the implementation of “green energy deployments.”

In order to expand data centre capacity, efforts are being made to enhance the energy efficiency of all data centres in Singapore. This will involve the deployment of energy-efficient IT equipment and the introduction of incentives or grants to promote resource efficiency.

Singapore’s Infocomm Media Development Authority highlighted the significance of data centres in leveraging Singapore’s global standing as a business and digital hub, according to a press release. The IMDA is responsible for both promoting and regulating Singapore’s communication and media sectors.

With the increasing popularity of AI, the demand for energy has also seen a significant rise. In a report released on Wednesday, the Tony Blair Institute for Global Change highlighted the challenges faced by national energy networks due to increased strains. The report emphasised the need for immediate management of these issues.

The surge in AI development has led to a significant increase in the need for data centres. These facilities play a crucial role in storing the vast amounts of data necessary for training and implementing AI models. However, it is important to note that data centres are notorious for their high energy consumption, as they require substantial power to operate effectively.

According to the Tony Blair Institute for Global Change, companies such as Microsoft and Google are making significant investments in clean energy. However, it is crucial for governments to provide ongoing incentives to encourage companies to continue their efforts in this area.

Puthucheary stated that data centres are the largest source of indirect carbon emissions in the information and communications sector. “The ICT sector emissions in Singapore are largely attributed to them, making up a significant 82% of the total. Additionally, their electricity consumption accounts for 7% of Singapore’s overall usage.”

According to data from global real estate services firm Cushman & Wakefield, Singapore ranks as the second-largest data centre market in Southeast Asia and the sixth-largest in Asia-Pacific.

According to IMDA, Singapore is home to over 70 data centres that can accommodate cloud platforms, digital services, and high-intensity workloads for AI.

According to Cushman & Wakefield, the global data centre market is reaching new heights in 2023. Power limitations have compelled data centre operators to explore untapped and smaller markets across the globe.

Source – CNBC News

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