The European Union is developing a sustainability rating system for data centres with power capacity above 500 kW. The initiative is aimed at providing clearer measures for a sector whose capacity the EU expects to roughly triple within five to seven years. The framework is designed to address how new computing capacity affects electricity and water demand as growth accelerates.
The proposed ratings would assess electricity and water use, renewable power, and waste-heat recovery. The European Parliament and the Council have two months to review the delegated regulation. If the regulation is adopted, the first labels could be issued in 2027.
Review timeline for delegated regulation
Brussels is also working on a separate track focused on minimum performance standards for data centres. A proposal for those standards is expected in the second quarter of 2027. Together with the rating system, the measures are intended to shape how energy demand from new facilities is evaluated.
Grid constraints and scrutiny on new computing capacity
For operators and power suppliers, the sustainability ratings would place energy demands of new computing capacity under closer scrutiny. This comes as grid connections become a bigger constraint on expansion. The EU’s approach links the sector’s growth expectations with additional requirements tied to resource use and energy-related performance.
