In the quest for a more interconnected world, we’ve come to rely on data centers for almost everything.
But did you know that a 1 MW data center powered by thermal power can emit a staggering 8,760 metric tons of CO₂ annually? That’s equivalent to the yearly emissions of more than 1,900 cars!
As the digital world expands, the sustainability challenges these facilities face become more urgent than ever.
India's data centers: Time for a green overhaul in the age of AI
India’s data centers are due for a green overhaul, and this isn’t just about ticking compliance boxes. Real sustainability demands integrating eco-conscious practices at every level of operation, especially as data centers globally now consume three percent of the world’s electricity, producing more CO₂ than the entire airline industry.
The rise of artificial intelligence (AI) is only amplifying the challenge. Goldman Sachs Research estimates that AI alone will drive an additional 200 terawatt-hours of power consumption annually between 2023 and 2030, equivalent to the electricity usage of some small countries.
By 2028, AI is projected to account for 19 percent of data center power demand, underscoring the urgent need for carbon-neutral solutions across the industry.
The rising tide of data
As data grows, both in volume and importance, the need for sustainable solutions becomes unavoidable. The adoption of AI, 5G, and the Internet of Things (IoT) will significantly increase the demand for data. This means higher energy consumption, more emissions, and bigger environmental challenges. India, with its rapidly evolving digital landscape, is particularly at risk, and the stakes are getting higher.
India's growing data center landscape
India’s data center industry is experiencing explosive growth, driven by increasing digital activities like e-commerce, digital payments, social media, and especially the rapid adoption of cloud computing. In fact, cloud services are transforming the way businesses operate, making them a crucial catalyst for data center expansion.
According to industry reports, the public cloud services market in India is projected to reach $13 billion by 2026, growing at a CAGR of 23.1 percent from 2021 to 2026. With the surge in cloud adoption, companies across sectors are transitioning from traditional IT infrastructure to cloud platforms, driving massive demand for data center capacity. Cloud-based services like SaaS, PaaS, and IaaS are becoming the backbone of digital transformation, further fueling this trend.
In parallel, rural India is leading the charge in internet consumption. As of 2023, 53 percent of India’s internet users – that’s 442 million people – come from rural regions, adding to the demand for digital services.
The number of data centers is expanding rapidly, with over 130 facilities (including more than 80 third-party ones) spread across the country.
The future looks even more promising: by 2025, India aims to become a $1 trillion digital economy, with the data center industry at its core. Moreover, data center investments are expected to skyrocket to $10 billion by 2026-27, reflecting the critical role these facilities will play in the country’s digital and economic growth.
Integrating ESG goals into next-generation data centers
Data center providers need to embrace Environmental, Social, and Governance (ESG) goals to build a sustainable future.
Here’s how integrating these goals can make data centers greener and more efficient:
- Environmental considerations
- Energy usage: Did you know improving power usage effectiveness (PUE) alone can drastically reduce a data center’s energy demand? Green energy solutions like solar power and waste-heat recovery are vital to cutting emissions.
- Water usage: Cooling data centers is water-intensive. Shifting to technologies like direct-to-chip cooling and closed-loop systems can slash water consumption.
- Waste management: Proper disposal and recycling of e-waste and other hazardous materials are essential to reducing a facility's environmental footprint.
- Social considerations
- Safety and health: Providing a safe working environment and prioritizing employee well-being is a core component of a sustainable operation. Mental health programs, healthcare, and work-life balance initiatives ensure a healthier, more productive workforce.
- Governance considerations
- Transparency: Publishing sustainability reports that adhere to global standards like LEED Platinum and ISO certifications enhances stakeholder trust.
- Accountability: Ensuring sustainability efforts through third-party audits and ESG metrics tied to executive performance creates accountability and drives long-term results.
CtrlS Datacenters: Leading the charge with green innovation in India
CtrlS Datacenters is setting a benchmark for sustainable operations. With innovations like stormwater harvesting, solar farming, and e-waste management, CtrlS is taking real steps toward green transformation.
We’ve achieved one of the best PUE ratings in India, and are leading the charge in renewable energy.
CtrlS has already invested in 66.8 MWp of solar power across three Indian states, and by the end of the financial year, we will have doubled our renewable capacity. Our goal? 100 percent renewable energy by 2030 and achieving Net Zero emissions by 2040. With 153 MWp solar projects in progress, generating 250,000 MWh of energy, CtrlS is laying the foundation for sustainable digital infrastructure.