Sim says the government carefully assesses data centre applications to protect household and industrial energy supply
KUALA LUMPUR: The government ensures that every application for a new data centre project goes through a strict assessment process to make sure that electricity and water supplies to households and local industries are not affected.
Deputy Investment, Trade and Industry Minister Sim Tze Tzin said that through the Data Centre Task Force (DCTF), the government will assess each application based on investment needs, project capacity and various other aspects to ensure that the country’s energy security continues to be maintained.
“So, the government is always careful when approving any application related to data centres,” he said in reply to a supplementary question in the Dewan Negara today from Senator Susan Chemerai Anding.
Replying to another supplementary question, Sim said that through the New Incentive Framework (NIF), the government will, among other things, consider providing incentives to multinational corporations (MNCs) that bring in high-impact technology and develop local vendors, especially in rural and underdeveloped areas.
“The government has also held various matching programmes between MNCs and local companies so that SMEs can become suppliers to MNCs, in addition to encouraging the use of at least 40 per cent local content through the Malaysian Certificate of Origin. This can help local companies to some extent,” he said in reply to a supplementary question from Senator Tan Sri Low Kian Chuan on the government’s steps to help SMEs gain from spillover effects from investments by multinational companies in the artificial intelligence (AI), semiconductor and biotechnology sectors.
