EDB and IMDA have launched a pilot Data Centre (DC) – Call for Application Exercise (DC-CFA) that will facilitate the building of new DC capacity and allow for the calibrated and sustainable growth of DCs in Singapore.
In the last couple of years, data centres have become an important enabler of the transformation into a digital economy. As the usage of digital applications and services have increased and continues to increase, the demand for data storage and processing for both businesses and consumers has seen a rapid rise globally.
Intensive use of natural resources
However, data centres are also intensive users of resources such as land, water, and energy, which adds to the carbon footprint. For example, a Hyperscale Data Centre also consists of minimum 5000 – 10,000 servers which are energy guzzlers, opine industry watchers.
According to reports, the entire data centre industry uses over 90 billion kilowatt-hours of electricity annually. This is the equivalent output of roughly 34 coal-powered power plants. At a global scale, 3 per cent of all electricity used in the world goes to data centres.
Recognising these factors, the Singapore government had put a moratorium in 2019 on the growth of data centres and embarked on a review. Since then, EDB and IMDA have had extensive consultations with the DC sector, their industrial customers and sustainability solutions providers to determine the parameters for the installation of new DC capacity.
Earlier this year, the moratorium was lifted but with conditions. Going forward, Singapore will need to manage the growth of data centre capacity in a sustainable manner consistent with its climate change commitments, officials said.
EDB and IMDA will partner with the industry to facilitate DCs that bring in state of the art technologies and best practices for sustainability, particularly in the areas of energy efficiency and decarbonisation. Further, preference will be given to companies who strengthen Singapore’s international connectivity, position as a regional hub; and make a significant contribution to (Singapore’s) broader economic objectives.
The Pilot Call for Application (CFA) exercise by EDB and IMDA seeks to leverage on the expertise and capabilities of the industry to further push the technology boundaries in these areas, and help level up the baseline for the sector, while providing new capacity for DC growth to support our digital economy, according to company executives. This first DC-CFA exercise has been structured as a pilot, with flexibility for the industry to provide innovative proposals that can best meet our desired outcomes, stated officials. The pilot DC-CFA application will close on 21 November 2022.
EDB and IMDA will continue to partner with the industry for greener DCs to fulfil our environmental obligations under the 2015 Paris Agreement while supporting the needs of our Digital Economy. We look forward to the industry’s participation in the pilot DC-CFA exercise, said officials.
Key Pilot DC-CFA Requirements
Sustainability: Best in Class Resource Efficiency and Decarbonisation
The applicant should provide proposals on how it intends to run the most efficient DC that is best in class.
The applicant(s) selected under the pilot DC-CFA is required to certify its new build DC or existing DC seeking expanded capacity under the prevailing BCA-IMDA Green Mark for New Data Centre (“GM-NDC”) criteria and obtain Platinum certification.
The applicant is to design, build and operate a DC that is best-in-class in terms of efficiency, and achieve at least a Power Usage Effectiveness (PUE) of 1.3 (at 100% IT load) or better.
The applicant has to demonstrate optimisation of IT energy efficiency through use of equipment that meet/exceed best-in-class IT energy efficiency standards and adoption of measures with users to optimise equipment utilisation.
Decarbonisation Efforts
The applicant should provide proposals on how it will best achieve sustainability goals through renewable energy and plans to invest in innovative energy pathways (such as Hydrogen, Building Applied Photovoltaics /Building Integrated Photovoltaics) to offset its carbon emissions footprint.
Strengthening Singapore as a regional and/or international connectivity hub
The applicant may propose how its proposal would strengthen Singapore’s value proposition as a key DC and technology hub for the region, as well as Singapore’s regional/international digital connectivity.
Economic: Broader contributions to Singapore’s economic objectives
The applicant is to indicate the fixed asset investments and total business expenditure for the DC and propose other desirable business activities that are brought in together with the DC (such as R&D, product development etc.) that contribute to the broader economic value and outcomes for Singapore.
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