German government proposes easing the requirement to use waste heat from new data centers
In June, the German government proposed replacing the mandatory use of waste heat from new data centers with an assessment of technical and economic feasibility. The proposal still awaits parliamentary approval.
In June, the German government approved a proposal to ease the requirements of the Energy Efficiency Act for new data centers. Instead of being required to use some of their waste heat, operators would have to assess the technical and economic feasibility of doing so. If using the heat proved infeasible, they would receive an exemption. According to the article, the proposal still awaits parliamentary approval.
The original law, passed in 2023, envisaged using the heat in district heating systems, for example. Companies building data centers, however, said the requirement complicated construction even where no customer was available to take the heat. Patrick Graichen, a former senior official at the economy ministry, rejects this objection: he argues that the availability of a heat customer should be part of site selection. The proposal thus opens a debate over the conditions for developing AI infrastructure and meeting climate commitments.
Why it matters
The amendment would allow new data centers to be planned in locations where using waste heat is found to be technically or economically infeasible. An assessment would remain mandatory, but under those conditions, heat offtake itself would no longer be a prerequisite for the project.
Relevant practical impact
What this means
For a business
For companies planning data centers in Germany, the requirement at the project design stage would change: instead of ensuring that some waste heat is used, they would only need to document a feasibility assessment under specified conditions. According to the article, however, parliament has not yet approved the proposal.
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Event sources
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