What DC-CFA2 means for data centres in Singapore
The DC-CFA2 offers 200MW of capacity, but the sustainability requirements are eye-opening.
Singapore's just announced DC-CFA2 is the primary route to new data centres in the regional hub. It's also more than data centres.
I was away on a family holiday when the DC-CFA2 was finally announced last Monday. Since I already have an inkling of what it entails, I kept holidaying.
I finally sat down to read the press release for Singapore's DC-CFA2. It actually gave me goosebumps. Here's why and what it means for data centres.
What is the DC-CFA?
What is the DC-CFA? Created to control data centre growth, it has emerged as the Singapore government's primary mechanism to allocate new data centre capacity.
The second Data Centre-Call for Application (DC-CFA2) was announced on 1 Dec 2025. It offers "at least" 200MW of data centre capacity, up from 80MW in the pilot DC-CFA.
The DC-CFA2 sets an extremely high bar with multiple requirements around strengthening Singapore as a data centre hub, economic contributions, and sustainability.
Key requirements that caught my attention:
- Green Mark for Data Centres 2024,
- PUE of 1.25 at 100% IT load,
- and at least 50% green energy use.
In my view, this is probably the most stringent sustainability guidelines in APAC.
But why?
The requirement for data centre operators to utilise green energy for 50% of capacity will substantially increase costs. In what is already one of the priciest data centre markets in the world.
What is the idea behind this move? I've written an 1,800-word piece on Substack explaining why it's such a high bar and the strategy behind what Singapore is doing. And why it might just redefine sustainable data centres.
Read the full analysis on Clearly Tech: go.clearlytech.co/k4Hj
