Maharashtra state government establishes expert panel to assess environmental impact of data centers in India.
Maharashtra's industries minister announced the government will establish a high-level committee to assess the environmental impact of data centre projects in the state. The committee, to be chaired by veteran nuclear scientist Dr Anil Kakodkar, will comprehensively study the impact on water, power, the environment, global warming and local livelihoods.
The announcement came in response to concerns raised by Shiv Sena MLC Manisha Kayande in the Legislative Council about the growing number of data centre projects. She highlighted potential environmental and public health impacts, including massive water and energy consumption, noise pollution, land requirements, climate change concerns, and employment generation.
Industries Minister Uday Samant noted that Maharashtra adopted a Green Data Centre Policy in 2026 and its provisions required thorough study. The state aims to establish 30 to 40 gigawatts of data centre capacity to achieve its "Developed Maharashtra 2027" objective, while ensuring no adverse impact on citizens' livelihoods.
The proposed committee will include senior officials and experts from the Mumbai Metropolitan Region Development Authority, the City and Industrial Development Corporation (CIDCO), municipal corporations and the Department of Industries. The committee will formulate guidelines on environmental regulations, environmental norms, tree plantation, e-waste management and water resource conservation for data centre projects.
Minister Samant clarified that drinking water will not be used for data centres. Instead, the government will utilise only tertiary treated water—processed from sewage—supplied by Thane, Navi Mumbai and Panvel municipal corporations, as well as CIDCO and other Mumbai Metropolitan Region agencies. Major companies are making substantial investments in this infrastructure: Amazon is investing approximately Rs 500 crore, while Blackstone is spending around Rs 2,000 crore.
Proposed data centre projects in the Khalapur and Taloja areas require 200 million litres of water, while the Trans Thane Creek industrial area project requires 100 million litres. Since this demand will be entirely met through treated wastewater, local drinking water supplies and agricultural water resources will remain unaffected.
Several legislators raised additional concerns during the discussion, including demands for efficient e-waste management, exploring the use of seawater, assessing financial benefits to local self-governing bodies, and studying international data centre hubs' experiences. In response, Minister Samant announced that a team of state government experts would be sent to Abu Dhabi and other countries to study advanced green data centre technologies.
He reiterated that every data centre in Maharashtra would strictly operate as a "Green Data Centre", and that the government would not compromise on environment or public interest while pursuing industrial growth and job creation.