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ENVIRONMENTAL groups and water security experts have welcomed Johor’s decision to halt approvals for Tier 1 and Tier 2 data centres, citing mounting concerns over water consumption as the state cements its position as a regional digital infrastructure hub.
The move, announced two months ago by Johor housing and local government committee chairman Mohd Jafni Md Shukor, is aimed at limiting heavy industrial water usage amid growing development in the southern state.
Tier 1 and Tier 2 data centres are estimated to consume up to 50 million litres of water daily — roughly equivalent to 20 Olympic-sized swimming pools — significantly more than Tier 3 and Tier 4 facilities.
The Star cited Green Earth Society president P. Sivakumar said the state could ill afford complacency in managing its water resources, particularly after recent large-scale supply disruptions.
“We cannot be complacent in our management of water resources, as we also need to cater to the needs of the people,” he said.
“Last year alone, there were two major water disruptions in Johor which affected more than a million people.”
He added that Johor’s water obligations extend beyond its own population, as the state is also required to supply water to Singapore.
“There is a lot of development taking shape in Johor, especially in the south. Our water needs are not only for Johor, but we are also obligated to supply it to Singapore,” he said.
Sivakumar suggested that future data centres be relocated to coastal areas where desalination plants could provide seawater-based supply, reducing pressure on freshwater reserves.
He also urged the state government to intensify efforts to rehabilitate polluted rivers such as Sungai Tebrau and Sungai Skudai.
Dr Zulfaqar Sa’adi, a researcher at Universiti Teknologi Malaysia’s Centre for Environmental Sustainability and Water Security, described the policy shift as a prudent step towards better management of energy and water resources.
He recommended that data centres be geographically dispersed rather than concentrated in a single locality, to ease strain on infrastructure.
“It is good to move the data centres away from populated areas to Pontian and Kulai,” The star reported him saying.
While acknowledging the economic benefits brought by data centre investments, he stressed that resource planning must keep pace with growth.
“We need to get a hybrid system which uses both water and air to cool the data centres,” he said.
Johor currently relies on 16 dams to meet its water needs. However, Dr Zulfaqar warned that climate change is intensifying pressures on supply.
“Climate change is causing the temperature to rise, which is related to the increase in forest and shrub fires around the country, and because of the rising heat, data centres will need more resources for their cooling mechanisms,” he said.
He also proposed recycling water from industrial zones for use in cooling systems.
Based on historical data, Johor’s wet season typically runs from October to January, followed by a dry spell between February and April. The months from May to September are generally marked by intense heat.
“Our projections show that climate change would intensify with temperatures rising and the dry period prolonging,” he said. - February 14, 2026
