Syllabus: Conservation, environmental pollution and degradation, environmental impact assessment
Context and Concept
- Data is increasingly treated as the new oil in the global digital economy.
- India risks becoming a destination for “data dumping” through poorly planned data centres.
- Data dumping refers to locating resource-intensive, environmentally harmful facilities in weakly regulated jurisdictions.
Good versus Bad Data Centres
- Data centres can benefit the economy if efficiently designed, well located, and properly regulated.
- A good data centre requires reliable power supply, grid upgrades paid by developers, and high server utilisation.
- It must include efficient cooling, such as airflow management, higher inlet temperatures, ambient or liquid cooling.
- Dependence on potable water and backup power should be minimised through recycled water and clean alternatives.
- Continuous measurement and monitoring of energy, water, and cooling parameters are essential.
- A bad data centre is one located in unsuitable areas or using outdated, water-intensive or inefficient cooling systems.
Global Resistance and Lessons
- In the United States, communities increasingly resist data centres due to water, power, and land concerns.
- In Chile, Google was forced to change cooling technology after environmental court scrutiny.
- In North Carolina and Minnesota, projects were cancelled or delayed due to secrecy and environmental fears.
Why India Faces High Risk
- India is actively courting data centres through land, power incentives, and fast-track clearances.
- Forecasts project data-centre capacity to rise from 1.8 GW by 2028 to over 4.5 GW by 2030.
- Many Indian cities and river basins are already highly water-stressed.
- Large clustered loads strain the electricity grid, requiring costly infrastructure upgrades.
- The CAG, Supreme Court, and NGT have flagged gaps in environmental clearance and monitoring systems.
Safeguards and Watchpoints
- Data centres need grid capacity, fibre networks, and legal land titles, preventing unchecked siting.
- India has judicial and tribunal mechanisms that can deter environmental violations.
- Civil society organisations can hold authorities accountable through scrutiny and public pressure.
- Warning signs include excessive subsidies, weak zoning, opaque contracts, and unclear cost-sharing rules.
- Each data centre must declare water budgets, cooling methods, peak power loads, and audit disclosures.


