SEPANG, Sept 8 — The Selangor government is closely monitoring water and power supply capacity amid the rapid expansion of data centres in the state, said Menteri Besar Datuk Seri Amirudin Shari.

He said the state would not approve data centre projects without ensuring adequate water and electricity supply, amid growing public concerns over the industry’s resource requirements.

“We are very aware of the concerns of the public related to power and water supply, and we are monitoring closely.

“Without enough water, definitely the data centre cannot be approved in Selangor,” he told reporters after witnessing the handover of vacant possession for NCT Smart Industrial Park (NSIP) Phase 1 here today.

Amirudin was commenting on NCT Alliance Bhd’s recent announcement that it had signed a term sheet for the proposed sale of a 100-acre land parcel within NSIP for a data centre development that could support up to 800 megawatts (MW) of capacity.

Amirudin said every data centre application must obtain approval from the Federal Data Centre Task Force, with power supply requirements to be cleared by Tenaga Nasional Bhd and water supply by Pengurusan Air Selangor Sdn Bhd.

He said the state government is confident that its water supply capacity would be sufficient, particularly with the Rasau Water Supply Scheme expected to provide an additional 350 million litres per day (MLD), while the capacity could reach 700 MLD upon full completion of its first phase.

He also stressed that the state government is encouraging data centre operators to adopt water-recycling systems and technologies that could reduce water consumption for cooling purposes.

“We are encouraging the recycling of water … so that the processed water is not discharged, but instead recycled within each data centre,” he said.

Amirudin said the rapid expansion of data centres could also generate wider economic benefits by supporting the development of the electrical and electronics (E&E), chip and semiconductor sectors.

He added that Selangor had also introduced a 30 per cent policy to ensure small and medium enterprises (SMEs) benefited from data centre operations in the state. — Bernama