India's Data Center Expansion Eyes Nuclear Power for Low-Carbon Supply
Data center capacity in India is projected to increase from approximately 375 MW in 2020 to 1,575 MW by 2026. This expansion, driven by AI, cloud services, and digital infrastructure, requires significant power and resource planning. Future phases are expected to be even more power-intensive.
To support this growth, India is exploring various energy solutions. The country's expanding nuclear program and future small modular reactors (SMRs) are identified as potential sources for firm, low-carbon electricity for large computing clusters in the 2030s. Parallel development of commercial and regulatory frameworks for nuclear-data center arrangements is also being considered.
Infrastructure planning for these facilities extends beyond power to include water, land, and network connectivity. States are encouraged to map resources such as grid capacity, clean energy potential, sustainable water sources, and fiber before designating large clusters. This approach aims to ensure that new data centers contribute to local economic value through procurement, skills development, and tax revenues, rather than solely focusing on announced gigawatts or capital commitments.