The European Union is taking further steps to improve the energy efficiency and sustainability of data centers as rapid growth in artificial intelligence and digital infrastructure drives up electricity demand.
On September 21, 2026, the European Commission proposed a common EU-wide classification and labeling scheme for data centers and launched a public consultation on potential minimum energy-performance standards.
The initiative reflects a growing challenge for Europe: how to expand data center capacity while limiting pressure on electricity grids, water resources and the environment.
Data Center Electricity Demand Could Nearly Double by 2030
According to data cited by the European Commission, data centers consumed approximately 68 TWh of electricity across the EU in 2024.
That figure could increase to around 114 TWh by 2030, driven in large part by the rapid development of AI and other energy-intensive digital services. This would represent more than 3% of total EU electricity demand.
At the same time, the EU aims to significantly expand its data center capacity over the coming years. This creates an important challenge for developers and operators: increasing computing capacity without creating proportionally greater pressure on the energy system.
New Rating System
The European Commission has proposed a common rating system covering data centers with an installed IT power demand of more than 500 kW.
The first sustainability labels for individual data centers are expected in 2027, subject to the regulatory approval process.
Minimum Performance Standards Could Follow
The labeling system is only one part of the EU’s strategy.
The European Commission has also launched a 12-week public consultation and call for evidence on possible minimum performance standards for data centers. The consultation is open until December 14, 2026, with a legislative proposal currently planned for the second quarter of 2027.
The potential standards are intended to reduce the energy consumption and environmental footprint of data centers across Europe.
This means energy efficiency is increasingly becoming a key consideration when planning new data center projects, rather than simply an operational issue after a facility is built.
Renewable Energy and Grid Flexibility Become More Important
As electricity demand from data centers increases, access to reliable and sustainable power is becoming increasingly important.
The European Commission highlights several approaches that could help integrate data centers into the wider energy system, including:
Renewable energy generation
Data centers can be combined with clean energy generation to reduce dependence on carbon-intensive electricity sources.
Energy storage
Battery energy storage can help manage electricity demand, provide flexibility and support grid stability.
Demand flexibility
Data centers that can adjust electricity consumption according to grid conditions may help reduce pressure on the electricity system.
Waste heat recovery
The Commission estimates that reusing around half of the waste heat generated by European data centers could provide enough heat to meet the needs of approximately 4 million households.
What This Means for the Renewable Energy Industry
The rapid expansion of data centers could create new opportunities across the renewable energy value chain.
Large-scale data center developments require not only computing infrastructure, but also reliable electricity supply, backup power, energy storage and potentially on-site renewable generation.
For solar energy projects, this could translate into increased demand for:
- Ground-mounted solar PV systems
- Rooftop solar mounting systems
- Carport solar structures
- Battery energy storage systems
- Hybrid solar-plus-storage solutions
- Energy infrastructure designed for large commercial and industrial loads
For solar mounting manufacturers and renewable energy suppliers, data center development is therefore a market trend worth monitoring closely.
Looking Ahead
Europe’s digital infrastructure is expected to continue expanding, particularly as AI applications increase computing requirements.
At the same time, the EU is moving toward greater transparency and potentially stricter energy-performance requirements for data centers.
The combination of AI-driven electricity demand, renewable energy integration, energy storage and stricter efficiency requirements could reshape how future data centers are designed and powered.
As Europe works to balance digital growth with energy sustainability, renewable energy and flexible energy infrastructure are likely to become increasingly important parts of the data center ecosystem.
The transition is not only about building more data centers — it is also about building more energy-efficient and sustainable power systems around them.
Source: European Commission; pv magazine
