Inquiry: The risks and opportunities to the
sustainability of data centres in the UK
MPs have today launched a new inquiry on the environmental
impacts of data centres in the UK, as Energy Secretary says future energy demand from data centres “remains
inherently uncertain”.
Amongst the issues the Environmental Audit Committee's new
inquiry will examine will be how much energy and water data
centres are likely to use, and how this could impact the
Government's net zero goals.
Data centres are regarded by ministers as being central to UK
economic growth and were designated critical national
infrastructure (CNI) in September 2024, offering them more legal
protections. But their electricity consumption is expected to
quadruple by 2030, according to theNational Energy System
Operator, raising concerns about their sustainability.
Today the Committee also publishes a letter from Secretary of
State for Energy Security , responding to the EAC Chair's concerns about data
centres being omitted from the Government's projections for the
Seventh Carbon Budget (CB7).
In the letter, Mr Miliband says the government's modelling for
CB7 includes emissions from data centres but will also test “a
range of trajectories”, given the uncertainty of future demand
from data centres.
In their new inquiry, MPs will explore how growing AI use might
accelerate the need for data centres and whether planning
authorities will take account of their impact on the environment.
They will also consider how new technologies could minimise their
environmental impact and what lessons the UK could learn from
other countries.
Chair of the Environmental Audit Committee, MP, said:
“Will data centres power the UK's economic growth? Perhaps. But
what kind of implications will they have for energy and the
environment? How will they impact the already tortuous queues for
grid connections and the Government's plans to bring down energy
bills? And what impact will their energy consumption and water
usage have on the decarbonisation efforts and viability of other
sectors?
It's critical that we really consider what the impacts of data
centres will be before we charge into approving them en masse.
Our inquiry will take a detailed look at the consequences of data
centres for the local environment, including their water and
energy use, and how the Government is taking account of their
impact as they prepare plans for the next Carbon Budget. I
encourage anyone with knowledge of this area to send in
evidence.”
Terms of Reference
- What current and future factors and trends are driving demand
for data centres and what opportunities and challenges do they
pose for the UK?
- What are the environmental impacts of different types of data
centre currently having in the UK and what are the future impacts
likely to be?
- What are the potential short, medium and long-term
projections of these impacts?
- What impact are data centres having on climate change and the
Government's Net Zero targets and how will this change in the
short, medium and long term in the UK?
- To what extent will Artificial Intelligence (AI) accelerate
the need for data centres and is this being adequately taken
account of by the Government and relevant bodies, such as the
Climate Change Committee and the Office for Environmental
Protection, in terms of nature, the environment and climate
change?
- To what extent do existing policies, such as the
Environmental Improvement Plan and the Planning and
Infrastructure Act and associated policies, take account of the
potential impact of data centres, particularly in terms of water
use, nature and the environment?
- How should the impact of data centres be factored into
future policies, such as the Land Use Framework, regional
planning, housebuilding and reform of the water sector?
- How important is the location of data centres and what
factors should be considered for optimum siting of them?
- Has the Climate Change Committee adequately taken account of
the impact of data centres, especially in its advice on the
Seventh Carbon Budget?
- What existing and emerging technologies can be used to
minimise the environmental and climate change impact of data
centres?
- How mature are these technologies and are they ready to
be rolled out at the scale and pace required to match the
potential expansion of data centres?
- What specific role can renewable energy play in reducing
the carbon footprint of data centres?
- What opportunities do data centres offer in helping to power
and heat local communities and amenities and what will be
required to deliver benefits?
- Are there beneficial or precautionary lessons to learn from
the impact of data centres outside the UK?
- To what extent will the resource demands of data centres
impact on other sectors with regard to competition for resources
and decarbonisation?