The government has approved a new requirement for data centers in Malaysia, mandating that they utilize at least 30% renewable energy. Furthermore, data centers are encouraged to generate their own electricity through the use of solar panels.
This measure serves to reduce reliance on conventional energy sources while aligning with Malaysia’s energy transition agenda.
The Energy Commission (ST) is currently developing a comprehensive framework and set of guidelines regarding this matter, covering both self-generation of energy and the requirement for data centers to source at least 30% of their energy from renewable sources.
Additionally, the government has emphasized that every application for electricity supply for data center developments will undergo a thorough technical assessment—evaluating factors such as feasibility and consumption capacity. The government underscored that its primary priority remains the stability of the power grid and the continuity of electricity supply for all.
It was previously reported that the data center sector currently accounts for nearly 10% of electricity consumption in Malaysia, with projections indicating that this figure could reach 31% by 2035.

