Malaysia to rush out framework for sustainable data centres
Framework to be introduced in October this year.

It's happening: Malaysia will establish a framework in October for sustainable growth of data centres. Here's what it means.
The Malaysia Data Centre Task Force (DCTF) on Monday agreed that a framework for sustainable data centres will be introduced in October.
What is this framework?
This announcement comes months after the publication of the "Guidelines for Sustainable Development of Data Centre" by Malaysia's MITI in December 2024.
I did some quick reading, and the Guideline outlined several objectives:
- Attract investments for sustainable data centres.
- Design and operate energy-efficient data centres.
- Encourage innovation in water consumption.
It also grouped data centres into six different categories from hyperscalers to enterprise DCs, and outlined metrics to be tracked using ISO/IEC standards for:
- PUE.
- CUE.
- WUE.
The Guideline noted that applications released by MIDA for tax incentives will be subject to conditions outlined in it.
- The new data centre framework isn't out yet, but will presumably adopt and expand upon the earlier Guideline - as well as introduce some carrots and sticks.
- As it is based on ISO/IEC, the PUE standards defined in the Guideline seem less stringent than Singapore's Green Mark for Data Centres 2024. But it's early days yet.
What next?
It's worth noting that the Monday night announcement doesn't actually say the framework will go live in October. I'm guessing there will be time for a period of public consultation before it is implemented.
Finally, it remains to be seen what kind of benefits adherence will bring and how strictly it will be enforced. The latter could make all the difference in adoption by the data centre industry.
Sustainable data centres
Sustainability is a challenge that everyone will face - the only question is when they will run into it. Neighbouring Singapore has already started exploring sustainable data centres for years.
With its near-vertical growth over the last two years, particularly in Johor, Malaysia is now a major data centre hub that is scrambling to ensure that the sector stays sustainable.
It does seem to me that the previous season of frenetic, laissez-faire data centre growth in Malaysia could be over. Data centres are still welcomed, but conditions - including sustainability - will no longer be optional.
What are your thoughts on this?