CEA Sets Up Committee To Assess Data Centres’ Impact On Power Grid, Stability

New Delhi, Oct 1 (KNN) The Central Electricity Authority (CEA) has constituted a committee to assess the impact of rapidly expanding data centres on India's power system and grid stability, amid rising demand for electricity and water from the sector.

The panel will examine operational, policy and regulatory issues related to large data centres, including their impact on the power grid and potential cybersecurity risks.

Rising Power Demand From Data Centres

The immediate trigger for the committee was concerns raised by Odisha over grid-linked operational challenges arising from large collective power purchases by data centre operators, reported Economic Times.

At a June meeting of the CEA's National Committee on Transmission, the Central Transmission Utility of India (CTUIL) noted that West Bengal was projecting a substantial load of 200-300 MVA for data centres in and around New Town and Rajarhat, with 24x7 load characteristics in the coming years.

The country's installed data-centre power capacity has increased to 1,575 MW from 375 MW in 2020, according to a government statement issued in August. The CEA expects electricity demand from data centres to reach around 17 GW by 2031-32.

Data centres are currently concentrated in Mumbai, Navi Mumbai, Chennai, Hyderabad, Bengaluru, Delhi-NCR and Jamnagar, but are increasingly expanding to other states.

Cybersecurity Risks Under Review

The committee will also examine potential cybersecurity risks to the power sector. The sector had emerged as a target for cyberattacks during the India-Pakistan conflict amid Operation Sindoor, according to people familiar with the matter.

The panel is expected to submit its findings to the CEA's National Power Committee (NPC), with its review covering the broader operational, policy and regulatory implications of large-scale data-centre expansion.

(KNN Bureau)