Malaysia Requires 30 Percent Renewable Power for New Data Centers

Oct 29, 2026
Malaysia will require new data centers to source at least 30 percent of their electricity from renewable sources. The Energy Commission is drafting guidelines for enforcing the rule.

The Malaysian Government approved rules requiring new data centers to source at least 30 percent of their electricity from renewable sources, according to Data Center Dynamics. Deputy Prime Minister Datuk Seri Fadillah Yusof said the Energy Commission is drafting the framework and guidelines for meeting the requirement.

Operators are encouraged to install renewable generation at their sites, particularly solar power. The requirement is supported by the Corporate Renewable Energy Supply Scheme, which allows third parties to supply or buy electricity through the national grid for an access charge.

Malaysia's Data Centre Task Force previously approved 5GW of additional capacity subject to the 30 percent threshold. The country currently has about 8.3GW of data center capacity in its interconnection pipeline.

We hope you enjoyed this article

Consider subscribing to one of our newsletters like AI Policy Brief, Silicon Brief or Daily AI Brief.

Free newsletter

AI Policy Brief

Weekly report on AI regulations, safety standards, government policies, and compliance requirements worldwide.

Market report

2025 Generative AI in Professional Services Report

Thomson Reuters

This report by Thomson Reuters explores the integration and impact of generative AI technologies, such as ChatGPT and Microsoft Copilot, within the professional services sector. It highlights the growing adoption of GenAI tools across industries like legal, tax, accounting, and government, and discusses the challenges and opportunities these technologies present. The report also examines professionals' perceptions of GenAI and the need for strategic integration to maximize its value.

Read more
Free, six days a week

Daily AI Brief: the AI news that matters, in your inbox.