Data centres to need 8,391MW of power by 2030, Johor accounts for over half

DATA centres in Peninsular Malaysia are projected to require 8,391 megawatts (MW) of electricity by 2030, with Johor expected to account for more than half of the demand, the Energy Transition and Water Transformation Ministry (PETRA) said.

Johor’s projected requirement stands at 4,428MW, followed by Selangor at 1,481MW, reflecting the two states’ positions as major data centre development hubs.

“Both of these states are key hubs for data centre development and will certainly require electricity supply infrastructure planning that aligns with the projected load growth,” the ministry said in a written parliamentary reply yesterday.

PETRA was responding to Batu Pahat MP Onn Abu Bakar, who asked about projected electricity and water demand from the data centre industry through 2030, particularly in Johor and Selangor, as well as the number of facilities already built.

As of August, 45 data centres were operational in Peninsular Malaysia, with a combined electricity supply capacity of 6,041MW provided by Tenaga Nasional Bhd through the national grid.

Water demand from data centres in Johor and Selangor is projected to reach 389.04 million litres per day (MLD) by 2030, compared with actual consumption of 63.9MLD reported to the National Water Services Commission (SPAN).

The ministry said the government had introduced regulatory measures to maintain electricity supply stability and ensure the industry’s demand and associated costs did not adversely affect households and other businesses.

Data centre operators are encouraged to generate their own electricity and use backup generators alongside demand-management measures, particularly during peak periods or when supply reserves are low.

PETRA said an Ultra-High Voltage tariff was introduced on July 1, 2025, for data centres receiving electricity at high- and extra-high-voltage levels, to ensure infrastructure investment costs were recovered more fairly without placing an additional burden on domestic consumers.

The government has also increased the Connected Load Charge to encourage operators to use their requested electricity capacity efficiently and avoid wasting unused capacity.

In addition, data centres are required to source at least 30 per cent of their energy from renewable sources through initiatives such as the Corporate Renewable Energy Supply Scheme (CRESS) and the Solar for Self-Consumption (SELCO) programme. - October 20, 2026