{"id":83760,"date":"2026-07-24T15:00:00","date_gmt":"2026-07-24T07:00:00","guid":{"rendered":"https:\/\/www.greenpeace.org\/malaysia\/?p=83760"},"modified":"2026-07-24T15:26:51","modified_gmt":"2026-07-24T07:26:51","slug":"civil-society-calls-for-ban-on-data-centres-near-residential-areas","status":"publish","type":"post","link":"https:\/\/www.greenpeace.org\/malaysia\/press\/83760\/civil-society-calls-for-ban-on-data-centres-near-residential-areas\/","title":{"rendered":"Civil society calls for ban on data centres near residential areas\u00a0"},"content":{"rendered":"\n

Introduction<\/strong><\/h2>\n\n

Malaysia is increasingly becoming a hub for data centres. This year, it was reported that Malaysia\u2019s data centre capacity was expected to double by end-2026, with a further 3,500MW planned after 2026, placing it among the top three data center markets in the Asia-Pacific region behind Tokyo and Beijing [1]. By 2035, data centres are expected to comprise one-thirds of Malaysia\u2019s total energy consumption, accounting for 73,274 GWh annually [2].

In July 2026, it was reported that the Petaling Jaya City Council (MBPJ) had received applications for planning permission for a commercial data centre on Jalan Rimba Riang 9\/6 in Seksyen 9, Kota Damansara [3], prompting outcry from local residents over potential environmental impacts, along with insufficient objection periods. This follows similar outcry after the launch of an \u201cAI Factory\u201d data centre along Jalan 51a\/229 near Seksyen 14, Petaling Jaya [4], and a February 2026 protest by 50 local residents against a proposed data centre in Gelang Patah, Johor [5].

Today, responding to environmental and human rights concerns raised by communities, civil society and state agencies alike, the undersigned organisations call on the Government of Malaysia to issue a ban on approvals of data centres near residential areas for the following reasons:\u00a0\u00a0<\/p>\n\n

Data Centres Will Drive Rise in Energy Consumption and Emissions<\/strong><\/h3>\n\n

Malaysia\u2019s energy grid is over-reliant on fossil fuels, which in 2022 was estimated to comprise 81% of its energy sources. In June 2025, it was reported that Malaysia planned to increase its fossil gas-fired power plant capacity by 50% to meet demands from data centres. Fossil fuels, including fossil gas, are currently the leading driver of global emissions, and in 2023, the Intergovernmental Panel on Climate Change (IPCC) concluded that any new increase in fossil fuel capacity is inconsistent with a global 1.5\u00b0C pathway.

Data centres require a tremendous amount of energy for their operation. Even a small-scale 10MW data centre requires an estimated 43,800 MWh of energy annually, equivalent to the average consumption of 67,500 households [6]. The 3,500MW of planned data centre capacity could burden Malaysia\u2019s grid with 15,330 GWh of energy consumption, equivalent to that of 23.65 million households, and resulting in annual emissions of 12 million tonnes CO\u2082e [7]; roughly equivalent to the annual emissions of entire countries such as Brunei [8].\u00a0<\/p>\n\n

Data Centres to Increase Water Risks <\/strong><\/h3>\n\n

The servers and equipment inside data centres generate significant amounts of heat, and data centres consume large amounts of water for cooling purposes. The average 100MW data centre can use up to 4.2 million litres of water per day [9], and a 3,500MW capacity growth could increase water consumption to 147 million litres of water per day, equivalent to the average domestic water consumption of 610,000 Malaysians [10]. Driving increased competition between domestic and industrial demand for freshwater supply, climate change is expected to alter the pattern of precipitation in Malaysia, which could worsen water shortages in certain regions. Current modelling identifies water deficit risks in data centre-heavy regions such as Selangor, Negeri Sembilan and Johor as climate impacts worsen by 2040, 2080 and 2100 respectively, which will drive long-term water risks for communities living near data centres [11].\u00a0<\/p>\n\n

Data Centres Will Emit Noise Pollution<\/strong><\/h3>\n\n

The humming of cooling systems, whirring of fans and rumblings from electricity generators can cause data centres to emit a constant sound that can be heard in surrounding areas. These noises can range between 55 and 85dB, and even reach 96dB [12], which exceeds the 85dB threshold considered safe for hearing. However, the health risks of sound pollution can arise from its 24\/7 constant presence, rather than its raw volume. Already, communities in the United States are reporting headaches, vertigo, nausea, sleep disturbances, ear pain, and hypertension caused by living near data centres [13].<\/p>\n\n

Data Centres Could Exacerbate Urban Heat Islands<\/strong><\/h3>\n\n

There is an emerging body of research suggesting that the waste heat from cooling systems at data centres could drive a heat island effect in the neighbouring vicinity. One study from Phoenix, Arizona found that a 169MW data centre emitted waste heat equivalent to that of 180,000 households, rising air temperatures by as much as 2.2\u00b0C, detectable at distances up to 500m from the facility [14]. Another study identified that a 2\u00b0C increase in surrounding land surface temperatures can be expected after data centres begin operating, which could induce local microclimate zones [15].<\/p>\n\n

Big Tech\u2019s Close Relationship to Genocide, Surveillance and Rights Abuses<\/strong><\/h3>\n\n

Some of the Big Tech companies which are currently investing in data centre expansion in Malaysia were listed in a 2025 report by the United Nations Special Rapporteur on the situation of human rights in the Palestinian territories occupied since 1967 which exposed the corporate machinery facilitating genocide. The report alleged that these companies have been providing government-wide access to Israel to their cloud and AI technologies, enhancing data processing, decision-making, surveillance and analysis capacities for the Israeli Defence Forces (IDF). The report further cites a statement made in July 2024 by an Israeli colonel, which described cloud tech as a \u201cweapon in every sense of the word\u201d, citing some of these companies [16].\u00a0<\/p>\n\n

Calls to Action<\/strong><\/h2>\n\n

We, the undersigned, believe that data centres should not be sited near residential areas due to their contribution to greenhouse gas emissions, noise pollution, the urban heat island effect, water consumption and links to genocide.

Firstly, we call on the Malaysian Investment Development Authority and Data Centre Task Force to establish regulations banning the siting of data centres near residential areas, including working with PLANMalaysia to amend the existing Planning Guidelines for Data Centres.

Secondly, we call on the Department of Environment to amend the Environmental Quality Act 1974 to include data centres as a prescribed activity requiring a Schedule 2 Environmental Impact Assessment, which are open to public objection periods, meaningful consultation and permanent public access.

Thirdly, we call on all local municipal councils such as the Petaling Jaya City Council to issue a moratorium on the approval of new data centres, and a stop-work order on data centres currently under construction, until such amended regulations are enforced.

Fourthly, we call on the Government of Malaysia to end collaborations with companies complicit in genocide, and to safeguard strategic and personal data of Malaysians from companies that could threaten national security and digital sovereignty.<\/p>\n\n

This letter is endorsed by:<\/strong><\/p>\n\n

    \n
  1. RimbaWatch<\/li>\n\n\n\n
  2. BDS Malaysia<\/li>\n\n\n\n
  3. Center to Combat Corruption and Cronyism (C4 Center)<\/li>\n\n\n\n
  4. Persatuan Kesaksamaan Demi Kedamaian Rakyat Sejagat (SEDARJAT)<\/li>\n\n\n\n
  5. Greenpeace Malaysia<\/li>\n\n\n\n
  6. Sustainable Development Network Malaysia (SUSDEN Malaysia)<\/li>\n\n\n\n
  7. Environmental Protection Society Malaysia (EPSM)<\/li>\n\n\n\n
  8. Klima Action Malaysia (KAMY)<\/li>\n\n\n\n
  9. GEGAR (Gerakan Gabungan Anti-Imperialis)<\/li>\n<\/ol>\n\n

    Sources:<\/strong>
    [1]https:\/\/theedgemalaysia.com\/node\/801613
    [2]https:\/\/theedgemalaysia.com\/node\/808955<\/a>
    [3]    https:\/\/www.therakyatpost.com\/news\/2026\/07\/16\/only-7-days-to-object-kota-damansara-residents-cry-foul-over-data-centre-plans\/#gsc.tab=0<\/a>
    [4]    https:\/\/www.thestar.com.my\/tech\/tech-news\/2026\/05\/14\/gobind-concerns-on-development-of-data-centres-must-be-acknowledged<\/a>
    [5]    https:\/\/www.straitstimes.com\/business\/economy\/malaysia-draws-first-data-centre-protest-over-pollution-water<\/a>
    [6]Based on average household consumption of 648.31 kWh from: https:\/\/ideas.repec.org\/a\/eco\/journ2\/2020-06-15.html
    [7]Based on a grid emissions factor of 0.774Gg CO2eq\/GWh from: https:\/\/myenergystats.st.gov.my\/documents\/d\/guest\/grid-emission-factor-gef-in-malaysia
    [8]    https:\/\/edgar.jrc.ec.europa.eu\/report_2025<\/a>
    [9]    https:\/\/www.mida.gov.my\/mida-news\/investments-in-water-need-to-keep-pace-with-influx-of-data-centres\/<\/a>
    [10]Based on an average of 241 litres per capita daily from: https:\/\/hydrohub.airselangor.com\/publication\/stemming-the-tide-in-water-loss\/
    [11]https:\/\/link.springer.com\/article\/10.1007\/s40808-022-01465-9
    [12]    https:\/\/pmc.ncbi.nlm.nih.gov\/articles\/PMC12273412\/<\/a>
    [13]\u200b\u200bhttps:\/\/www.eesi.org\/articles\/view\/communities-are-raising-noise-pollution-concernsabout-data-centers
    [14]    https:\/\/asmedigitalcollection.asme.org\/sustainablebuildings\/article\/7\/2\/024501\/1233035\/Data-Center-Waste-Heat-as-an-Emerging-Urban<\/a>
    [15]    https:\/\/arxiv.org\/abs\/2603.20897<\/a>
    [16]    https:\/\/docs.un.org\/en\/A\/HRC\/59\/23<\/a>
    <\/p>\n","protected":false},"excerpt":{"rendered":"

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