India's data centre capacity is projected to surge from 1.2 GW currently to 10 GW by 2030, driven by over $200 billion in investments. However, this explosive growth presents significant challenges for the nation's power infrastructure. Data centres are extraordinarily power-intensive, with AI-focused facilities consuming 10-15 times more electricity than traditional centres. This expansion will increase data centre electricity demand from 10-15 TWh in 2024 to 40-45 TWh by 2030, raising their share of total consumption from 0.8% to 2.5-3%. While this seems manageable nationally, the concentration of 2-3 GW clusters in states like Maharashtra and Karnataka could strain regional grids significantly. Without urgent infrastructure upgrades and comprehensive planning, India risks grid instability and potential blackouts as demand surges unpredictably across state networks.
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