Karnataka recasts data centre policy after confronting sustainability challenges

https://cdn1.expresscomputer.in/wp-content/uploads/2026/07/25110224/New-Project-31.jpg

Karnataka has spent years positioning itself as a preferred destination for data centres. With the announcement of its Sustainable Data Centre Policy 2026 to 2031, the state is signalling that the next phase of growth will depend not only on attracting investments but also on addressing one of its biggest constraints, water.

The policy, announced at the Annual CEO Breakfast Meet in Bengaluru by Chief Minister DK Shivakumar, comes at a time when AI driven demand is reshaping data centre infrastructure. As computing densities increase, cooling systems are consuming more resources, making water availability an increasingly important factor in deciding where data centres can be built. For Karnataka, which has faced recurring water shortages and erratic monsoons in recent years, the challenge is particularly acute.

The scale of the ambition is significant. Karnataka’s earlier data centre policy had set a target of adding around 1,000 MW, or roughly 1 GW,...

Copyright of this story solely belongs to expresscomputer.in. To see the full text click HERE

Read more