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Data Centre Policy, Environmental Costs, and Karnataka's Digital Ambition

Monday, May 11, 2026
5 min read
Data Centre Policy, Environmental Costs, and Karnataka's Digital Ambition

This whole move came after the government had already hinted back in March that they needed to seriously look at the data centre policy . The environmental cost—the heavy drain on water and power—was a major sticking point.

Right now, Karnataka already has thirty-two data centres scattered around. It just shows how much demand there is.

They were told to start making preparations and talk to potential investors right away.

The logistics of water are something they touched on. The Bengaluru Water Supply and Sewerage Board said they can manage sixty million litres a day of secondary treated water. But the plan seems to put the onus on the industries themselves to handle the final, tertiary treatment before anything gets used.

For the second park, they’ve earmarked 350 acres in the Baikampady Industrial Area in Mangaluru. That part seems more concrete. But finding the land for the third park in Mysuru? That’s still floating. It’s going to be identified later, they said.

That 1,000 MW figure isn't just about servers. It’s the total electrical load needed to run all the cooling systems, the servers, the whole network infrastructure. It really hammers home how energy-hungry these operations are.

The government assured that the power and water would be sorted for anyone setting up shop in these new parks. It felt like a promise, maybe more than a guarantee right now.

Officials were told to get meetings set up with stakeholders fast. They need to speed things up.

Later on, they’re setting up a committee of ministers to actually oversee the whole implementation. DK Shivakumar, who handles water resources, is expected to be central to that. Authorities are pushing hard to get these projects moving, fast.

You can’t ignore the friction, though. Priyank Kharge, the IT Minister, had touched on this earlier. He called data centres a ‘necessary evil’. Essential for things like AI and machine learning, sure, but they are brutally resource-intensive.

He laid out the numbers. Each megawatt of data centre capacity demands about seventy crore rupees and twenty-five million litres of water every year. It’s a massive footprint.

And it’s not just the direct consumption. Even routine digital stuff sucks up resources. He pointed out that asking five questions on an AI platform uses maybe half a litre of water. But that’s the small stuff. The infrastructure itself is the real beast.

So, these parks signal Karnataka wants to be a digital leader. But the focus on sustainability? That’s about grappling with the trade-off. The next few months are going to be critical. It’s going to show how well the state manages this tension between technological ambition and the actual management of its resources. It’s going to be messy.

Written by Gree News Team — Senior Editorial Board

Gree News Team covers international news and global affairs at Gree News. Our collective of senior editors is dedicated to providing independent, accurate, and responsible journalism for a global audience.

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