China faces soaring electricity needs amidst data centre boom

The buildout will also boost the country's renewable energy consumption.

China is on track to nearly double its data centre capacity within five years, lifting data centre power consumption to 289 terawatt-hours (TWh) by 2030, according to Rystad Energy.

Data centres are also set to be the fastest-growing source of power demand in the country, with consumption rising at an annual rate of 19% between 2025 and 2030.

Artificial intelligence and high-performance computing facilities now account for 39% of installed capacity and expected to rise to 48% by 2030.

Unlike traditional data centres, these facilities are more energy-intensive being reinforced by the ‘East Data West Computing’ strategy launched in 2022.

The buildout will also boost the country's renewable energy consumption as hubs are required to source at least 80% of their power from renewable energy.