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Data centre sector urges extended compliance timeline for green regulations

Industry players have called for more time to meet sustainability requirements under proposed legislation, with operators citing implementation challenges. A public consultation on the matter attracted dozens of responses from data centre companies and sector groups.

LSN Singapore · 8 September 2026

Data centre sector urges extended compliance timeline for green regulations

Data centre operators and cloud service providers have petitioned regulators for extended timelines to comply with environmental standards outlined in pending legislation, citing the substantial infrastructure investments and operational changes required.

The sector's concerns emerged during a public consultation that drew 25 submissions from industry stakeholders, including major data centre operators, cloud service providers, and industry associations. Respondents highlighted the technical and financial complexities of retrofitting existing facilities to meet stricter energy efficiency and sustainability benchmarks.

Operators expressed confidence in their ability to achieve the green targets but stressed that compressed implementation schedules could impose unrealistic burdens on the sector. Many flagged the need for staggered compliance deadlines that account for facility size, age, and current operational capacity.

The feedback underscores the balancing act regulators must navigate between Singapore's environmental commitments and the operational viability of the data centre industry, which plays a crucial role in the region's digital economy. Industry representatives indicated willingness to work with authorities on phased approaches that deliver meaningful sustainability improvements without disrupting critical digital infrastructure.

Regulators are now reviewing the consultation responses as they finalize the legislative framework, which is expected to establish binding environmental performance standards for the sector.