Amsterdam Approves Megadata Center Amidst Power Grid Saturation

Amsterdam has granted a license for a new megadata center, set to become one of the city's largest, despite the ongoing strain on its electricity grid. US company Equinix, which already operates nine data centers in the metropolitan area, received approval to build the complex in the Amstel III area of the Zuidoost district.

The project initially involves constructing one 60-meter-high tower due to the power grid's limited capacity. The completion of the remaining three towers is contingent on a new high-voltage connection, not anticipated before 2036. Once fully operational, the data center is projected to consume 779 million kilowatt-hours of electricity annually, nearly matching the 869 million kilowatt-hours used by all Amsterdam households in 2024.

This approval comes despite a moratorium on new data centers imposed last year due to grid saturation. However, projects like Equinix's, submitted before the moratorium, were exempt. The decision has reignited debate, similar to that surrounding another proposed data center for Microsoft, concerning the allocation of limited electrical infrastructure to foreign technology firms.

Equinix has differentiated its project by stating it will serve multiple clients, from startups to public institutions, rather than a single entity. The company also faces scrutiny over its water usage for cooling, requesting permission for 274 million liters of potable water annually for the first tower, potentially rising to 1.095 billion liters for the full complex. Equinix has pledged to explore new cooling technologies to reduce this demand and plans to repurpose the generated heat for a district heating network.