KUALA LUMPUR: Google has agreed to environmental conditions imposed by the government for its US$15 billion (RM61 billion) investment in Malaysia as the technology giant expands its data centre operations, Prime Minister Datuk Seri Anwar Ibrahim said.
“Yes, these are the conditions imposed and they have accepted,” he told reporters after being asked whether Google was doing enough to address environmental concerns following the launch of the Mantap Malaysia Bersama AI event at Universiti Malaya today.
During the event, Google announced plans to invest US$15 billion (RM61 billion) in Malaysia over 2027 and 2028 to expand its digital infrastructure, including the development of new data centre campuses in Selangor and Negeri Sembilan.
The company will bear the full costs of its electricity consumption and direct grid connections, while initiatives planned from 2027 are expected to help reduce household electricity bills in the host states.
Google also unveiled river restoration and school-based rainwater harvesting projects as part of its environmental initiatives.
With the expansion expected to increase demand for electricity and water, Anwar stressed in his speech that such investments must also leave lasting benefits for the countries hosting them.
“Modern digital infrastructure demands massive resources.
“And the test of a responsible investor is whether it leaves the host nation stronger and more resilient than ever,” he said.
He highlighted Google’s collaboration with Tenaga Nasional Bhd (TNB) to add more than one gigawatt of clean energy capacity to the national grid.
“By partnering with TNB to add more than one gigawatt of clean energy capacity to our national grid and paying fully for its own power without public subsidy, it actively accelerates Malaysia’s national energy transition,” he said.
Anwar also highlighted plans for an off-river reservoir and water treatment plant in Negeri Sembilan, which would supply water to Google’s data centre as well as other consumers.
“This investment in water stewardship is designed to deliver 65 million litres of potable water daily, mitigate flood risks during the monsoon, secure reserves during the dry season, and expand access to free drinking water for the community.
“And upon completion, ownership will be handed over directly to the state government as a permanent public asset,” he said.
Alphabet and Google president and chief investment officer Ruth Porat said the expansion would adopt the company’s “Bring Your Own Power” approach, under which electricity supply would be increased alongside the growth of its facilities.
“Our approach is to invest, to add energy capacity in Malaysia and accelerate the country’s clean energy transition alongside the growth of the digital economy,” she said.
Porat said Google would work with TNB on new generation facilities under the Corporate Renewable Energy Supply Scheme.
“This collaboration will also explore pioneering round-the-clock clean energy projects to ensure reliable power even when the sun isn’t shining,” she said.
On Nov 2, Google announced an investment of US$160 million (RM651 million) in an off-river reservoir and water treatment plant along the Linggi River in Negeri Sembilan, with Gamuda Bhd appointed to undertake the construction.
The latest expansion follows Google’s first data centre project in Malaysia at Elmina Business Park in Selangor, which was launched in 2024 and is now operational.
Also present at the event were Digital Minister Gobind Singh Deo, Communications Minister Datuk Seri Fahmi Fadzil, Higher Education Minister Datuk Seri Dr Zambry Abd Kadir, Deputy Investment, Trade and Industry Minister Sim Tze Tzin and Google Cloud Malaysia country manager Hannah Raja.
