Need to address misconceptions on data centres, says Lokesh

Vijayawada: Stating that there is a greater need to address misconceptions surrounding data centres, IT minister Nara Lokesh has emphasised that public awareness and transparent communication are crucial as the AP positions itself as a leading AI and digital infrastructure hub. Speaking at a fireside chat on “Future Readying India – The Andhra Experience” during the Bank of America India conference held in Mumbai on Monday, Lokesh said AP is targeting the development of a 6.5 GW data centre ecosystem and is actively building the infrastructure needed to attract global technology investments.

Referring to concerns over the environmental impact of data centres, Lokesh said many apprehensions are based on incomplete information. He noted that nearly 3,000 TMC of Godavari water flows into the sea every year, while the proposed 6.5 GW data centre ecosystem would require only about one TMC of water. He also pointed out that a one-gigawatt thermal power plant consumes nearly seven times more water than a one-gigawatt data centre. “We need to engage with people, especially youth, and explain the facts so that concerns can be addressed through informed discussions,” he said.

Lokesh attributed Andhra Pradesh’s rapid growth to three factors — the leadership of chief minister Chandrababu Naidu, speed of execution and strong Centre-state coordination. He said the state’s “speed of doing business” approach has helped attract major investments, including Google’s AI data centre in Visakhapatnam and the proposed ArcelorMittal green steel project.

The minister said AP values MSMEs as much as large multinational companies because they generate significant employment at the grassroots level. The state is exploring further reforms, including deemed approvals, to simplify business operations and encourage entrepreneurship. Highlighting the govt’s long-term vision, Lokesh said the state is developing 22 industrial clusters across sectors such as data centres, pharmaceuticals, medical devices, defence, quantum computing and space technology. The focus is on creating three major economic regions rather than concentrating development in a single city.

Lokesh said the capital city, Amaravati, is being developed as a world-class greenfield urban centre with educational institutions, hospitals, technology hubs and research facilities. He added that the core govt infrastructure is expected to be ready by 2028. Emphasising the need to prepare youth for emerging technologies, Lokesh said the state is aligning its education system with AI, machine learning and quantum technologies. “Our goal is to create 20 lakh jobs in five years and produce job creators, not just job seekers,” he said.