Union Minister Piyush Goyal declared that India is an ideal location for data centers due to its abundance of electricity and robust 500GW national grid capable of handling increased demand. During a press briefing focused on the energy sector, Goyal, the former Minister of Power and New & Renewable Energy, asserted that the nation possesses an ample amount of power generation capacity.

He expressed that the 500 gigawatt grid is among the most expansive on a global scale. At this juncture, multiple major technology companies such as Google, Microsoft, and AWS have shown interest in making investments in India.

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In October, Google disclosed plans to allocate $15 billion towards the establishment of an artificial intelligence infrastructure hub in Andhra Pradesh, featuring a sizable data center operating at the gigawatt scale established in collaboration with the Adani Group.

The initiative is anticipated to generate between 5,000 to 6,000 jobs directly and an additional 20,000 to 30,000 jobs overall in the state of Andhra Pradesh.

Last week, the Amazon Web Services (AWS) disclosed its plan to invest $7 billion in expanding data centers in Telangana over a span of 14 years.

Earlier in the month, Microsoft revealed intentions to allocate $17.5 billion towards investment in India, with the goal of aiding in the development of infrastructure and sovereign capabilities necessary for the nation's AI-centric future.

 

India's initiative to increase coal-based thermal power generation capacity was discussed by Goyal, who highlighted that this expansion is essential to fulfill the energy requirements of the Indian populace.

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"We cannot allow the people to be deprived of adequate power...coal production will also help us reduce imports further (of the dry fuel). We have already reduced our imports. We are also looking at coal alternatives like coal being converted to synthetic gas. We must recognise that we are a developing nation, we need transition time and low cost energy, to be able to meet the growing needs of a large nation and the needs of our industrial growth as well as the prosperity of the common man," he says.

He mentioned that India will adopt a practical approach to maintaining low energy costs while also striving towards the establishment of a clean energy framework.

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He indicated that the anticipated demand for thermal power in the year 2035 is projected to increase to 307 gigawatts. He mentioned the positive progress in the financial stability of power generation companies, noting that their debt has significantly decreased from Rs.1.4 lakh crore four years ago to Rs.6,500 crore.