India’s Data Centre Capacity Set to Triple, May Hit 3GW by 2030

India’s data centre industry is set for rapid expansion, with its total capacity projected to reach 3 GW by 2030, up from 1.1 GW in 2024, according to a report by Avendus Capital. The sector is experiencing robust growth, driven by rising data consumption, increasing adoption of AI and cloud technologies, and supportive policies focused on data localisation.

Annual investments in the sector, currently around USD 1–1.5 billion, are expected to double in the coming years. The report also highlights a potential demand-supply gap by 2033, with projected demand at 6 GW and available supply at 4.5 GW.

To meet this rising demand, India is focusing on hyperscale-ready infrastructure in major markets and edge data centres in Tier 2 and Tier 3 cities to support latency-sensitive workloads. The sector is expected to grow at a CAGR of 25–30%.

Government incentives like subsidised land and electricity duty exemptions are accelerating expansion. Companies like Anant Raj Ltd plan major investments to scale operations, aiming for 307 MW capacity by 2031-32. India is rapidly becoming a global hub for digital infrastructure.

Source: Live Mint