- Singtel’s Nxera secures $476 million green loan to develop a 58MW AI-ready data centre in Singapore.
- The sustainable facility in Tuas is set to be operational by 2026, integrating advanced cooling and energy-efficient systems.
What happened: Nxera’s AI-focused green data centre project in Singapore
Singtel’s regional data centre subsidiary, Nxera DCT, has secured a S$643 million (USD$476 million) green loan to fund the construction of a 58MW data centre in Tuas, located in Singapore’s western region. The financing is led by DBS, OCBC, Standard Chartered, HSBC, and UOB, all of whom are acting as green loan coordinators.
Set to be operational in 2026, the facility is designed to cater to high-performance AI computing workloads while maintaining an environmentally sustainable footprint. With a Power Usage Effectiveness (PUE) of below 1.25 at full load, the data centre is expected to be one of the most energy-efficient facilities in the region. It will feature liquid cooling systems, a chilled water setup, and water recycling mechanisms, enabling it to support high-density racks exceeding 30kW per rack while optimising water efficiency.
Arthur Lang, Singtel Group’s chief financial officer, stated: This initiative aligns with Singtel’s broader sustainability strategy, supporting Singapore’s digital economy while reducing carbon emissions in line with its net-zero objectives.
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Why it’s important
This green loan marks a significant step in Singapore’s data centre evolution, as the demand for AI-driven computing infrastructure surges. With AI workloads requiring substantial power and cooling capacity, traditional data centres often struggle with efficiency and sustainability. Nxera’s DC Tuas addresses these concerns by integrating state-of-the-art liquid cooling and energy-efficient technologies, setting a benchmark for sustainable AI data centres in Asia.
The investment aligns with Singapore’s Green Plan 2030, which aims to balance economic growth and environmental sustainability. By ensuring a low PUE rating and maximising water reuse, the project minimises its carbon footprint while enhancing computational capabilities for businesses adopting AI, machine learning, and cloud computing.
As major tech enterprises seek eco-friendly data centre solutions, Nxera’s move could attract AI-driven investments to Singapore, strengthening its position as a regional hub for digital innovation. With key financial institutions backing the initiative, the success of DC Tuas could set a new industry standard for next-generation, AI-ready green data centres worldwide.
