The Malaysian government has taken a significant step towards strengthening its digital infrastructure with the introduction of the Data Centre Planning Guidelines (GPP). Approved by the Cabinet on Tuesday, the guidelines aim to standardize and streamline the application and planning approval process for data center development.
Housing and Local Government Minister Nga Kor Ming announced the guidelines on Thursday, emphasizing their role in supporting the ease of doing business initiative and complementing the overall data center industry ecosystem. The GPP applies to data centre developments exceeding one megavolt ampere and covers both new areas and existing buildings.
One of the key objectives of the guidelines is to ensure that data centre development is aligned with designated land use zones, preventing disruptions to domestic resource distribution. To achieve this, the GPP introduces planning controls, restricting data center development to commercial and industrial areas. Additionally, buffer zones will be required near residential areas to mitigate noise disturbances.
The GPP is a strategic move by Malaysia to attract foreign investors in the digital sector. The country has already secured investments from tech giants like Amazon, Google, and Oracle and aims to become the largest data center hub in ASEAN within the next four to five years.
Nga Kor Ming stated that the guidelines will be presented to the National Council for Local Government Authorities on November 14. The GPP booklet will be distributed to 156 local authorities, and it is available online.
As of May, Malaysia had 32 operational data centers and 19 under construction. The primary focus areas for data center development in the country are Cyberjaya, Kuala Lumpur, and Johor.