September 22, 2026 | 05:45 pm
TEMPO.CO, Jakarta - The European Union's executive body, the European Commission, has proposed new rules requiring data center operators to disclose energy and water use through a uniform rating system across all member states.
As reported by Engadget on Monday, September 21, the rules will apply to data centers with a capacity above 500 kilowatts (kW).
The European Commission said the policy is necessary to reduce the environmental impact of the growing data center industry in the region.
The EU is targeting a threefold increase in data center capacity in the region over the next seven years as part of an effort to strengthen digital sovereignty, including reducing dependence on US tech firms.
But the raise in data center capacity is also expected to put greater pressure on power grids and water resources, potentially increasing carbon emissions.
The European Commission cited International Energy Agency (IEA) data showing that data centers in the European Union consumed around 68 terawatt-hours (TWh) of electricity in 2024.
This figure is expected to increase to 114 TWh by 2030, driven by computing needs for artificial intelligence (AI) development. This consumption is estimated to be equivalent to three percent of the European Union's total electricity use.
The European Commission noted that data centers must implement energy and water efficiency and integrate sustainability to minimize their impact on natural resources.
Under the proposed scheme, data center operators are not yet required to disclose total electricity consumption or limit electricity and water use.
However, they must provide information on the impact of the data center's water use on water scarcity in their operational areas.
Operators will also be required to disclose whether their data centers contribute back to the local energy ecosystem, for example by repurposing waste heat from the facilities.
The European Union also plans to introduce minimum performance standards for data centers across the region. The system would be similar to energy efficiency labels for electronic devices and vehicles.
The European Commission has now opened a two-month consultation period for the European Parliament and the Council of the European Union to review the rules and raise objections if necessary. If the process goes as planned, data centers in the European Union are expected to begin publishing sustainable energy labels next year.
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