India’s rising use of synthetic intelligence (AI) and a quick increasing digital financial system has led to an enormous demand for round the clock (RTC) and dependable energy provide for knowledge centre operations.
Addressing the problem of strong demand for sustainable vitality options, trade specialists and policymakers huddled collectively for a session on fuel for AI transition in India on the India Power Week (IEW) 2025.
The session explored methods to place India as a worldwide AI knowledge centre hub whereas emphasising on the nation’s local weather objectives for reaching net-zero emissions by 2070. AI-powered knowledge centres demand uninterrupted vitality provide.
Swapan Kataria, CEO and Co-founder of Crown LNG, highlighted the necessity for a diversified vitality method stressing on the importance of gas-based energy options in shaping India’s future and its progress trajectory accelerated by AI.
“Properly-balanced clear vitality is a standout resolution for colossal energy demand of knowledge centres. This can assist India meet the surging wants of energy to run AI-driven knowledge centres and high-performance computing with lowering carbon footprints. Strengthening the fuel ecosystem is not going to solely drive financial progress and job creation but in addition improve India’s standing within the international digital financial system,” he added.
JM Monetary, in an August 2024 report stated, India has emerged because the thirteenth largest knowledge centre market globally, with 163 knowledge centres as of March 2024.
Peak energy demand
Information centre capability has skilled a CAGR of 28-32 per cent pushed by IT sector, international functionality centres (GCC), the increasing digital financial system, and the shift to hybrid workplaces, it added.
As AI continues to reshape industries, guaranteeing vitality safety, financial progress, and sustainability stays crucial. Gasoline-based energy options supply a strategic pathway to assist India’s imaginative and prescient of turning into a worldwide AI and knowledge centre chief whereas advancing its clear vitality transition, Kataria recommended
“Peak energy demand as per Nationwide Electrical energy Plan is estimated to succeed in 366.4 GW by FY32, which is prone to be revised upwards. Therefore, we estimate that 7-8 per cent of incremental peak energy demand is prone to come from knowledge centres,” JM Monetary stated.
Gasoline-based energy vegetation present a sustainable bridge by providing decrease emissions, versatile ramp-up capabilities, and RTC vitality safety, making them an important a part of India’s clear vitality transition, Kataria careworn.
Gasoline stays an important transition gas in India’s clear vitality journey, offering stability whereas renewables scale up. A well-developed fuel ecosystem will ramp up vitality safety and assist industrial progress. India should capitalise on fuel’s potential to realize a balanced and sustainable vitality combine.
