India data center capacity seen jumping to 14 GW by 2035: PwC

India’s data center capacity is expected to rise from 1.5 GW to 14 GW by 2035, according to a PwC India report.

The report cites demand from AI, cloud, and 5G technologies as driving the projected growth.

PwC forecasts a compound annual growth rate of 20% for the sector.

The report cites the Digital Personal Data Protection Act 2023 and a draft Data Centre Policy as key factors supporting this expansion.

🧠 Food for thought

Implications, context, and why it matters.

PwC pegs 14 GW by 2035, while operational capacity was 1.28 GW in H1 2025 (first half of 2025) 1.
Data centres use 1–1.5% of global electricity today and could reach 8% by 2030, so power availability will decide growth, with power spending projected at $280 billion by then 2 3.
Mumbai holds 41% of upcoming supply and still saw 97.6 MW of take-up (newly contracted IT load) in H1 2025 1. Northern Virginia sits at 3,046.1 MW 4.

Maharashtra approved “Green Integrated Data Centre Parks” to co-locate data centres and renewables, targeting 1.5 GW with 100% renewables, while operators have net-zero timelines for 2031–2040 that push demand for renewable PPAs (power purchase agreements) 1 2.
India added 3.8 GW of open access solar in H1 2025 5. Maharashtra led in Q2 (second quarter) and has simpler approvals, while Rajasthan faces curtailment risks (forced reduction of power due to grid constraints) 5. Projects under development exceed 31 GW, while battery storage stays limited and is used for energy banking (accounting arrangements to draw power at a different time than generation) or to meet 24/7 green energy mandates (hour-by-hour matching of consumption with renewable supply) 5.
Focus on Karnataka (24%), Maharashtra (18%), and Gujarat (12%) of cumulative solar open access capacity, where fast approvals and grid links shorten build times 5.