MITI Tightens Data Centre Approvals Over Resource Constraints

The government will only approve new data centre projects if sufficient energy and water supply can be guaranteed, signalling tighter regulatory scrutiny over infrastructure expansion.

Data Centre Approvals

The Ministry of Investment, Trade and Industry said the move aims to balance economic growth with resource sustainability, as demand for data centres continues to surge.

The policy reflects growing concerns over environmental and infrastructure strain, with authorities prioritising long-term sustainability. Future approvals are expected to hinge on resource readiness and efficient capacity planning.

Resource constraints reshape infrastructure expansion strategy

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