Malaysia has approved 27 data center projects with an estimated investment of RM225.97 billion (US$ 55.4 billion) as of July 2026, the Digital Ministry informed Parliament yesterday.
It added that all are still under construction except for one which has started operations without specifying its location. More than half (16) of the data centers which were approved by the data centre task force (DCTF) are located in Johor. This is followed by Selangor (10) and Negeri Sembilan (1).
The projects are expected to create 4,053 jobs, including 3,523 high-skilled positions in electrical and mechanical engineering, networking, cybersecurity, as well as data center operations and maintenance. About 90 per cent of the high-skilled positions are expected to be taken up by Malaysians.
The ministry said the projects are subject to a minimum local content requirement of 30 per cent, with implementation and compliance monitored by the Malaysian Investment Development Authority (Mida) through project implementation reports that must be submitted every six months.
Talent Corporation Malaysia is in the midst of developing a data center facilities management programme to train locals in data center operations and maintenance, the ministry added.
Also in Parliament recently, it was revealed that as of August, 45 operational facilities had a combined maximum load of 6GW but consumed about 1.37GW. As a result, Deputy Minister Abdul Rahman Mohamad proposed that operators consider developing their own power generation and water supply arrangements.
In other news, in response to the power constraints in Johor, a planned 1GW hybrid energy project by UEM Lestra could strengthen Johor’s electricity supply and reduce dependence on other states. An expert told a local paper that generation nearer to major data center clusters could reduce transmission losses and improve supply resilience.