Spain Drafts Strict Renewable Energy Rules for Data Centers

The Government of Spain has drafted a decree to implement stricter water, energy, and cybersecurity regulations for data centers following a surge of artificial intelligence infrastructure projects. The rules target facilities with more than one megawatt of power capacity not yet connected to the grid, requiring that at least 80% of their electricity supply come from renewable sources for every hour of operation.

To ensure long-term sustainability, the decree mandates that every new megawatt of energy use be matched by a new megawatt of renewable energy installed within 18 months of operation. Projects already in the permitting process must comply within six months or forfeit their grid connection rights without compensation. Non-compliance with these hourly matching requirements may result in the loss of the right to connect to the power grid.

Beyond energy, the decree introduces sovereignty and security measures. Operators must be established within the European Union, and all data and metadata must remain within European borders. The measures aim to address water scarcity and prioritize efficient projects by aligning with the highest EU sustainability labels. The draft opens for public consultation this week, with the government indicating the final text may be modified based on industry feedback regarding the technical challenges of hourly energy matching.