The European Commission on Monday put forward a regulatory proposal that would oblige large data centre operators across the bloc to publish standardized information on their energy and water efficiency.
Under the plan, facilities with an installed capacity of 500 kilowatts or more would be subject to a new EU-designed labeling system. The label would make publicly available assessments of both energy and water efficiency for qualifying sites, according to the proposal.
In addition to efficiency ratings, the rules would require operators to report their water use in the context of local water stress conditions. The proposed disclosure obligations would also include whether a facility provides services to local energy systems - for example by reusing waste heat generated on site.
The Commission framed the move against a backdrop of rapid planned expansion in European data centre capacity. Brussels expects data centre capacity in the EU to increase from 12 gigawatts last year to 28 gigawatts by 2030, a near-tripling the Commission says is needed over the next seven years to support artificial intelligence development and to reduce dependence on US technology companies. The Commission's June report cited in the proposal estimates that data centres currently account for roughly 2.5% of the EU's electricity consumption.
Notably, the draft rules do not impose hard caps on energy or water consumption, nor do they mandate reporting of total power usage at the facilities. Instead, the Commission indicated that the labeling framework could be a stepping stone toward introducing mandatory minimum standards for water and energy efficiency at a later stage.
The new requirements would take effect unless a sufficient number of EU member states and lawmakers object within a two-month window, the proposal says. That period provides governments and legislators an opportunity to raise formal objections before the rules are implemented.
Summary
The European Commission has proposed a labeling regime that would force data centres of 500 kilowatts capacity and above to disclose energy and water efficiency metrics, contextual water stress information, and whether they contribute services such as waste-heat reuse to local energy systems. The initiative accompanies projections that EU data centre capacity will grow from 12 GW last year to 28 GW by 2030 to support AI development and reduce reliance on US tech companies. The proposal does not set consumption limits or require total power-use reporting, but the Commission said the labels could underpin future minimum efficiency standards. Member states and lawmakers have two months to object to the rules before they take effect.