{"id":58225,"date":"2025-11-01T19:32:09","date_gmt":"2025-11-01T14:02:09","guid":{"rendered":"https:\/\/www.nextias.com\/ca\/?p=58225"},"modified":"2025-11-03T14:42:47","modified_gmt":"2025-11-03T09:12:47","slug":"ai-data-centres-energy-demand","status":"publish","type":"post","link":"https:\/\/www.nextias.com\/ca\/current-affairs\/01-11-2025\/ai-data-centres-energy-demand","title":{"rendered":"Rising Energy Demand of AI Data Centres\u00a0"},"content":{"rendered":"\n<p><strong>Syllabus: GS3\/Science and Technology<\/strong><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Context<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>India is exploring the use of Small Modular Reactors (SMRs) to meet the surging electricity demand from AI-driven and data-intensive data centres.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Rising Power Demand from Data Centres<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>The demand for data centres in India<\/strong> is being driven by the need for data storage due to India\u2019s <strong>Digital India push, data-localisation policies, expanding internet users and the 5G rollout<\/strong> which is expected to enable adoption of data intensive technologies such as IoTs and AI.<\/li>\n\n\n\n<li><strong>Global electricity supplied<\/strong> to data centres is projected to rise from ~460 TWh in 2024 to over 1,000 TWh by 2030 and to about 1,300 TWh by 2035.<\/li>\n\n\n\n<li><strong>Power Demand by Data Centres: <\/strong>AI workloads use large numbers of <strong>Graphic Processing Units (GPUs)<\/strong> with individual racks consuming <strong>80-150 KW<\/strong> compared to <strong>15-20 KW<\/strong> for traditional enterprise servers.\n<ul class=\"wp-block-list\">\n<li>This computational intensity drives an insatiable demand for electricity, making AI the most significant driver of increased energy consumption within the data centre sector.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li>This rising demand has led major tech companies like Google and Microsoft to <strong>turn to nuclear power solutions<\/strong> for reliable and carbon-free energy.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Need for Small Modular Reactors (SMRs)<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>AI-driven data centres <strong>need sustainable and clean energy solutions<\/strong> to meet their rapidly rising power demand.<\/li>\n\n\n\n<li>While renewable energy has been the first choice for companies, it comes with inherent challenges of intermittency and inadequate storage. Here <strong>Nuclear power offers a viable solution <\/strong>by providing a clean, round-the-clock power supply.\n<ul class=\"wp-block-list\">\n<li><strong>SMRs are preferred because<\/strong> they combine enhanced safety through <strong>flexibility and scalability<\/strong> for incremental capacity addition, adaptability to remote or off-grid applications, and <strong>cost-effective construction<\/strong> enabled by prefabrication.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-background\" style=\"background-color:#fff2cc\"><tbody><tr><td><strong>What are Small Modular Reactors (SMRs)?<\/strong><br>&#8211; Small modular reactors (SMRs) are advanced nuclear reactors with a power capacity of up to <strong>300 MW(e) per unit, <\/strong>roughly one-third the generating capacity of traditional nuclear power plants.&nbsp;<br>1. <strong>Small <\/strong>\u2013 physically a fraction of the size of a conventional nuclear power reactor.<br>2. <strong>Modular <\/strong>\u2013 making it possible for systems and components to be factory-assembled and transported as a unit to a location for installation.<br>3. <strong>Reactors <\/strong>\u2013 harnessing nuclear fission to generate heat to produce energy.<br>&#8211; <strong>There are four four main types<\/strong> of SMR i.e., light water, high temperature gas, liquid metal, and molten salt.<br>&#8211; At present, only two Small Modular Reactor projects have become operational worldwide;<br>1. <strong>Russia\u2019s Akademik Lomonosov floating power unit<\/strong>, equipped with two 35 MWe modules and in commercial use since 2020, and&nbsp;<br>2. <strong>China\u2019s HTR-PM demonstration project,<\/strong> which was grid-connected in 2021 and achieved full commercial operations in 2023.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>What are the Concerns?<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Regulatory Challenges: <\/strong>The current nuclear regulatory framework is primarily designed for large-scale reactors.\n<ul class=\"wp-block-list\">\n<li>The possibility of using SMRs to produce materials for nuclear warheads and co-locating them with military sites raises <strong>non-proliferation concerns<\/strong>.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Legal Hurdles: <\/strong>India&#8217;s <\/li>\n\n\n\n<li><strong>,<\/strong> channels operators\u2019 liability to equipment suppliers, deterring foreign investors due to financial risk concerns.<\/li>\n\n\n\n<li><strong>High Initial Costs:<\/strong> Although SMRs are designed to be more cost-effective in the long run, the initial capital investment is significant.<\/li>\n\n\n\n<li><strong>Waste Management: <\/strong>Handling and disposing of nuclear waste remains a significant challenge.<\/li>\n\n\n\n<li><strong>Supply Chain and Manufacturing: <\/strong>Developing a robust supply chain for the components of SMRs and ensuring quality manufacturing processes are critical for their success.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Global SMR regulatory reforms&nbsp;<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>To address these challenges, countries around the world are reforming their SMR regulations in six main ways:\n<ul class=\"wp-block-list\">\n<li><strong>Technology-neutral frameworks<\/strong> replacing large reactor-specific rules;&nbsp;<\/li>\n\n\n\n<li><strong>Streamlined licensing<\/strong> including fleet approvals and combined construction-operating licences;&nbsp;<\/li>\n\n\n\n<li><strong>Modular manufacturing accommodation<\/strong> with factory fabrication certification;&nbsp;<\/li>\n\n\n\n<li><strong>International harmonisation<\/strong> through International Atomic Energy Agency (IAEA) standards and mutual design recognition;&nbsp;<\/li>\n\n\n\n<li><strong>Risk-informed requirements<\/strong> adjusting emergency planning zones and staffing proportional to smaller facility risks; and&nbsp;<\/li>\n\n\n\n<li><strong>Accelerated deployment<\/strong> pathways for follow-on units.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>India&#8217;s efforts towards SMRs<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Research and development on SMRs are ongoing at the <strong>Bhabha Atomic Research Centre (BARC)<\/strong> in Mumbai.\n<ul class=\"wp-block-list\">\n<li><strong>The Bharat Small Reactor (BSR)<\/strong> is a notable project under this initiative which aims to re-engineer existing reactors to incorporate additional safety features and enhance their efficiency.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li>India had announced a <strong>Rs 20,000 crore <\/strong>R&amp;D mission for development of <strong><a href=\"https:\/\/www.nextias.com\/ca\/editorial-analysis\/11-11-2024\/small-modular-reactors-paving-indias-path-to-clean-energy\" data-type=\"link\" data-id=\"https:\/\/www.nextias.com\/ca\/editorial-analysis\/11-11-2024\/small-modular-reactors-paving-indias-path-to-clean-energy\">small modular reactors (SMRs)<\/a>.\u00a0<\/strong>\n<ul class=\"wp-block-list\">\n<li>India is also targeting the deployment of at least five of these indigenously developed reactors by 2033.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>India and France<\/strong> have launched a cooperation program focused on SMRs and advanced modular reactors (AMRs).<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Way Ahead<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Data centres are central to India\u2019s digital economy and AI future, but their energy intensity poses a sustainability dilemma.<\/li>\n\n\n\n<li>SMRs present a strategic opportunity: ensuring reliable, green power while boosting domestic nuclear manufacturing and international collaborations.<\/li>\n\n\n\n<li>However, legislative reforms, addressing liability concerns, and ensuring safety and public trust will be critical to translating this vision into reality.<\/li>\n<\/ul>\n\n\n\n<p><strong>Source: <\/strong><a href=\"https:\/\/epaper.thehindu.com\/ccidist-ws\/th\/th_international\/issues\/154125\/OPS\/G7HF3H5RH.1+GCGF3LBG6.1.html\" target=\"_blank\" rel=\"noopener\"><strong>TH<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p><strong>Context<\/strong><\/p>\n<li class=\"ms-5\">India is exploring the use of Small Modular Reactors (SMRs) to meet the surging electricity demand from AI-driven and data-intensive data centres.<\/li>\n<p><\/p>\n<p><strong>Rising Power Demand from Data Centres<\/strong><\/p>\n<li class=\"ms-5\">The demand for data centres in India is being driven by the need for data storage due to India\u2019s Digital India push, data-localisation policies, expanding internet users and the 5G rollout which is expected to enable adoption of data intensive technologies such as IoTs and AI.<\/li>\n<li class=\"ms-5\">Global electricity supplied to data centres is projected to rise from ~460 TWh in 2024 to over 1,000 TWh by 2030 and to about 1,300 TWh by 2035.<\/li>\n<li class=\"ms-5\">Power Demand by Data Centres: AI workloads use large numbers of Graphic Processing Units (GPUs) with individual racks consuming 80-150 KW compared to 15-20 KW for traditional enterprise servers.<\/li>\n<li class=\"ms-5\">This computational intensity drives an insatiable demand for electricity, making AI the most significant driver of increased energy consumption within the data centre sector.<\/li>\n<p><a href=\"https:\/\/www.nextias.com\/ca\/current-affairs\/01-11-2025\/ai-data-centres-energy-demand\" class=\"btn btn-primary btn-sm float-end\">Read\u00a0More<\/a><\/p>\n","protected":false},"author":15,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-58225","post","type-post","status-publish","format-standard","hentry","category-current-affairs"],"acf":[],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/58225","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/users\/15"}],"replies":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/comments?post=58225"}],"version-history":[{"count":4,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/58225\/revisions"}],"predecessor-version":[{"id":58284,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/58225\/revisions\/58284"}],"wp:attachment":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/media?parent=58225"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/categories?post=58225"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/tags?post=58225"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}