🧔♂️ A friendly human may check it before it goes live. More news here
India’s data center capacity set to hit 1.7 GW by 2026: report
India’s data center capacity is expected to reach 1.7 GW by the end of 2026, according to Cushman & Wakefield.
The country added 228 MW of colocation capacity in 2025, bringing the total to 1.5 GW across major cities such as Mumbai, Chennai, Bengaluru, and Delhi.
Annual additions have stayed above 200 MW since 2024.
New cable landing stations in Mumbai, Chennai, and Digha are expected to drive further growth this year.
Operators have already invested in edge facilities in smaller cities including Bhubaneswar, Guwahati, and Lucknow, and are likely to increase investments.
Government policies, such as the draft National Data Center Policy and the Digital Personal Data Protection Act, are expected to support expansion, with incentives like tax holidays and data center economic zones.
However, land and reliable power supply remain challenges. Amit Sarin of Anant Raj Ltd. said demand could outpace supply by 2033 if current trends continue.
🔗 Source: The Economic Times
🧠 Food for thought
Implications, context, and why it matters.
India’s 2025-2026 data center capacity growth hinges on closing the power and land gap
- India’s projected 1.7 GW capacity by end of 2026 is a 13% gain from 1.5 GW. Astute Analytica expects installed IT load (power available to computing equipment) to reach about 3,983 MW by 2025 1.
- Growth hinges on power and land. Mumbai needs 4.41 million sq ft and Chennai needs 2.89 million sq ft, and data centers could consume 57 TWh (terawatt-hours) by 2030, up from 13 TWh in 2024 1. More than 60% of Mumbai’s under-construction capacity is pre-leased (booked by customers in advance) and the vacancy rate sits at 4.3% 23. Maharashtra requires 100% renewables in new Green Integrated Data Centre Parks (state-designated clusters) 2.
Independent power producers can capture 12 GW of renewable demand by solving data center energy reliability
- Data centers need baseload (round-the-clock) power. Solar peaks midday while AI runs 24/7, which opens a path for battery storage to enable hourly carbon-free energy matching (sourcing clean power every hour).
- Developers could win about 12 GW by 2030. CtrlS (Indian data center provider), Nxtra (Bharti Airtel’s data center arm), and AdaniConnex (a joint venture between Adani and EdgeConneX) target net-zero by 2030-2031, and data centers account for 13.6% of India’s open access demand 45. Power Purchase Agreements (PPAs) such as PDG’s 25-year captive solar PPA (where the buyer holds a qualifying ownership stake under Indian rules) paired with storage improve reliability and costs compared with grid power alone 6.
Stay updated on the go with our mobile app.
Get latest insights with smoother, more personalized experience through TIA mobile app.