Data Centres Account For 9.28 Pct Of Total Electricity Consumption – ST
KUALA LUMPUR, Sept 8 (Bernama) -- Data centres currently account for 9.28 per cent of total electricity consumption, according to the Energy Commission (ST).
Its chief executive officer, Siti Safinah Salleh, said data-centre electricity consumption could vary with the weather, as cooling systems require more energy during hotter periods.
“We expect power demand to increase in the fourth quarter of the year because there are a few data centers that are anticipated to come online or become operational somewhere in November.
“Currently, as I mentioned just now, power demand is over 21 gigawatts. So we don't expect that will increase too much in terms of peak capacity, but there will be a lot more consumption with the data centres coming in,” she told reporters on the sidelines of the Energy Regulatory Insights (ERI) 2026 here today.
On whether electricity usage by data centres would be capped, she said there was no specific limit, as approvals were based on the power system’s available capacity. “As the system builds up, data centres, like any other investors, can come in based on what the system can supply within the next few years,” she said.
Siti Safinah said data-centre operators could also invest directly in renewable-energy development through the Corporate Renewable Energy Supply Scheme (CRESS). “We have got a very healthy pipeline of applications and interest amounting to approximately three gigawatts, with several projects reaching an advanced stage,” she added.
Meanwhile, she said no additional gas-fired generation capacity was expected to come online in 2027, which would require existing capacity to be optimised to meet electricity demand. She said gas currently accounts for about 55 per cent of installed generation capacity and is expected to play a growing role as a transition fuel in the country’s energy mix towards 2050.
ST has also identified cumulative generation requirements of around eight gigawatts for 2029 to 2031 under its latest three-year planning cycle, she added.
Siti Safinah said the planning committee reviews the country’s electricity-system requirements twice a year to respond to changes in the increasingly dynamic energy sector.
Separately, during his welcome address earlier at ERI 2026, ST chairman Datuk Seri Asri Hamidon said energy reform was no longer simply about changing the energy mix, but also about Malaysia’s economic competitiveness and ensuring the energy system could meet growing demand while remaining affordable, secure, reliable and safe.
He said delivering the reform would require policy, regulation, market design, infrastructure and investment to move together, with industry playing a central role in turning national ambitions into real outcomes.
“Malaysia has set the direction for its energy transition. The challenge now is delivery, turning that direction into tangible value for industry, the economy and the rakyat,” he added.
Organised by the ST, the two-day ERI 2026 brings together policymakers, regulators, industry leaders, financial institutions, academia and international organisations to explore how regulatory reforms can become a catalyst for investment, competitiveness and long-term economic prosperity.
Under the theme "Energy Reform, Powering Growth," ERI 2026 serves as a strategic platform to strengthen regulatory collaboration, foster market development and inform investment decisions that accelerate Malaysia's energy transition and long-term economic growth.
Meanwhile, Siti Safinah said ERI 2026 has attracted about 1,000 participants, compared with more than 500 attendees last year.
-- BERNAMA