India's data centres could use up to 2% of power within a decade, says NITI Aayog member
NITI Aayog member Abhay Karandikar warned that India's data centres may rise from about 0.5% to as much as 2% of national electricity use over the next ten years.
Speaking at the launch of the Data Centre Set-Up Evaluation Framework Report, NITI Aayog member Abhay Karandikar said India's data centres currently consume roughly 0.5% of electricity but could account for up to 2% within a decade as AI and digital services expand. He compared this to 2-5% shares in the US and Europe and stressed that the country has a roadmap to supply the extra power, emphasizing renewable and nuclear options.
The new framework outlines criteria for evaluating proposals, including electricity and water use, and highlights advances in cooling technology that could lower water demand. While major facilities are concentrated in Mumbai, Chennai and the Delhi-NCR region, future sites may appear in Lucknow, Bengaluru, Hyderabad and Pune as states allocate land and utilities. Karandikar also touched on preparations for 6G spectrum and the balance between inviting foreign satellite firms and protecting national interests.
Why it matters
Growing data-centre power needs could strain India's electricity and water resources, affecting the country's digital expansion.
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