New Delhi, Oct. 1 -- The Central Electricity Authority (CEA) has constituted a committee to assess the impact of rapidly expanding data centres on India's power system and grid stability, amid rising demand for electricity and water from the sector.

The panel will examine operational, policy and regulatory issues related to large data centres, including their impact on the power grid and potential cybersecurity risks.

Rising Power Demand From Data Centres

The immediate trigger for the committee was concerns raised by Odisha over grid-linked operational challenges arising from large collective power purchases by data centre operators, reported Economic Times.

At a June meeting of the CEA's National Committee on Transmission, the Centra...