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Can Europe Build Data Centers Without Giving Up Its Climate Goals?

The German government has revised the 2023 Energy Efficiency Act that required new data centres to recycle a share of their waste heat. Under the amendment, operators only need to assess whether heat‑reuse is technically and economically feasible, rather than being obligated to do so. The change is intended to remove a barrier that data‑centre firms said made projects “almost impossible” and to…

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Key points

  • German government revised the Energy Efficiency Act, dropping mandatory waste‑heat reuse for new data centres.
  • Projects like Stack Infrastructure’s $3 billion Hesse plan were cancelled after the original heat‑reuse rules.
  • The amendment requires only a feasibility assessment, aiming to attract AI data‑centre investment while meeting EU 55% emissions cut goal.

Industry reactions are mixed. Patrick Graichen, a former senior official at the Ministry for Economic Affairs and Energy, argues the objections are unfounded and that heat‑of‑take availability should be a default site‑selection criterion. Critics such as Barbara Smitten of consulting firm Cundall note that the original rule could force developers into a bind when no municipal heating system or industrial off‑take existed. The amendment follows several high‑profile cancellations, including Stack Infrastructure’s $3 billion Hesse facility and state‑owned Komm.ONE’s withdrawal from a Baden‑Württemberg project, both citing the earlier heat‑reuse mandate. A small town council also blocked a $2.5 billion data‑centre plan in February over climate concerns. The revised law aims to balance the EU’s 55 percent emissions‑reduction target by decade’s end with the push to expand AI‑intensive data‑centre capacity.

Read the original at Wired AI · by Joel KhaliliOpen source ↗
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Stack InfrastructureKomm.ONECarbon3ITCundallPatrick GraichenBarbara SmittenJohn BoothKatherina Reiche

The headline, key points and digest above were generated by Digest AI's editorial model from the linked sources. Automated summaries can contain errors: the sources are the record. Spotted a mistake? Tell us. Published by Martin K., who runs Digest AI and handles corrections.

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