Tuesday, 1 July, 2025

Malaysia Data Centres Hit by 10–14% Power Tariff Hike, Investors on Alert

Malaysia implemented a new tiered electricity tariff system on July 1, 2025, raising costs for high‑consumption data centres by 10–14%, with some facing up to $20 million in added yearly expenses. The unclear pricing structure could deter investments, pushing firms to explore alternatives in Vietnam and Thailand. Major operators like Equinix are pivoting to renewable energy to offset costs. The move signals growing concern over national competitiveness in digital infrastructure.