EU proposes energy and water efficiency labels for data centres

Investing.com -- The European Commission introduced rules on Monday that would require data centres in Europe to report their energy and water efficiency levels. The proposal comes as the region moves to expand its data centre infrastructure while managing resource consumption.

The Commission proposed a rating system for data centre facilities that would make efficiency information available to the public. Under the plan, operators of facilities with a capacity of 500 kilowatts or more would need to report their energy and water efficiency using a labeling system designed by the EU.

The rules would also require data centres to provide information about their water usage in relation to local water stress levels. Facilities would need to disclose whether they offer services to local energy systems, such as reusing waste heat.

The EU plans to triple its data centre capacity over the next seven years to support artificial intelligence development and reduce dependence on US technology companies. Data centres currently use about 2.5% of electricity consumption in the EU, according to a June report from the Commission.

EU data centre capacity is projected to grow from 12 gigawatts last year to 28 gigawatts by 2030.

The proposed rules do not set limits on energy and water consumption or require data centres to report total power usage. The Commission said the labeling system could lead to mandatory minimum standards for water and energy efficiency in the future.

EU member states and lawmakers have two months to object to the rules before they take effect.

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