NEW DELHI, Feb. 20 -- As India plans to set up 10 gigawatts (GW) of data centre capacity by 2030, demand for electricity is expected to surge. Mint explains how this will impact India's power sector.

India has an installed data centre capacity of 1.2 GW, which will grow to about 10 GW by the end of this decade, with investments of over $200 billion, according to government estimates. India's cumulative data centre capacity may reach 8-10 GW by 2030, Samir Chandra Saxena, chairman and managing director of Grid India, said at the India AI Impact Summit earlier this week. Large data centres are expected to come up in Andhra Pradesh, Uttar Pradesh, Maharashtra, Telangana, Karnataka and Tamil Nadu.

Data centres consume large volumes of power...