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Andaman & Nicobar Withdraws Green Data Centre Plan Over Environmental Concerns

· · 2 min read

The Andaman & Nicobar administration has withdrawn its Expression of Interest for a private sector-led green data centre project, citing administrative reasons. This decision follows growing environmental impact concerns surrounding the broader Great Nicobar mega infrastructure project.

The Andaman & Nicobar Islands administration has officially withdrawn its Expression of Interest (EoI) for establishing a private sector-led Green Artificial Intelligence (AI) and Data Centre vertical. The proposal, initially published on August 10, was rescinded just four days later on August 14, with officials citing “administrative reasons.”

Environmental Scrutiny Halts Project

While administrative reasons were provided, the withdrawal comes amidst increasing scrutiny and public concern regarding the environmental impact of the ambitious Rs 81,000 crore Great Nicobar mega infrastructure project. Media reports indicate that several sea areas previously earmarked for the data centre project overlapped with locations designated for wildlife corridors, agriculture, biodiversity tourism, coastal and business tourism activities, residential zones, and administrative buildings in the draft master plan.

Details of the Withdrawn Proposal

The EoI had invited a broad spectrum of private entities, including hyperscalers, cloud service providers, AI infrastructure companies, and data centre developers, to explore the feasibility of developing a “green” AI or data centre vertical. Potential locations identified included Campbell Bay Sea, Anderson Bay Sea, Vijay Nagar Bay Sea, and Gandhi Nagar Bay Sea in Great Nicobar, alongside Hutbay Sea and Netaji Nagar Sea in Little Andaman.

The administration’s vision for the vertical was to “explore the development of a future-ready, energy-efficient and environmentally sustainable digital infrastructure ecosystem leveraging the strategic location and natural advantages of the Islands.”

Innovative and Sustainable Goals

The proposal outlined plans for advanced infrastructure, including:

  • Hyperscale and/or AI-focused data centre infrastructure.
  • Graphics Processing Unit (GPU) and high-performance computing infrastructure.
  • Cloud computing and sovereign digital infrastructure.
  • Renewable-energy-powered data centre operations.
  • Seawater-based or other innovative cooling systems, alongside freshwater-free solutions.
  • Waste-heat recovery for potential utilization in low-temperature desalination or other productive applications.
  • Robust submarine and terrestrial digital connectivity.

The decision to withdraw highlights the complex balance between fostering technological development and preserving the unique ecological sensitivities of the Andaman & Nicobar Islands, particularly in the context of larger infrastructure initiatives.

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