海角视频

Could heat recovery systems hold the key to recycling the waste heat from energy-hungry data centres for the good of neighbouring communities? In the second of our articles focused on the future of data centre infrastructure, we explore the options

In an era increasingly defined by digital demand, hyperscale data centres have become the beating heart of our online lives. From streaming services and cloud storage to artificial intelligence and real-time analytics, these vast facilities underpin the infrastructure of the modern world. Yet, as their footprint expands, so too do the challenges 鈥� particularly when it comes to sourcing the colossal amounts of energy required to keep them running.

Hyperscale tech firms are grappling with a dual dilemma: how to meet soaring energy needs while also addressing growing scrutiny over their environmental and social impact. The sheer scale of these centres 鈥� often housing tens of thousands of servers 鈥� means they consume electricity on par with whole towns. This has raised concerns about their strain on local grids, their carbon footprint, and their integration into communities that may not immediately benefit from their presence.

Many companies are now investing in innovative solutions to make their data centres not only more sustainable but also more community-friendly. From powering operations with 100% renewable energy to designing facilities that contribute waste heat to nearby homes, the industry is exploring ways to turn potential burdens into shared benefits. As these efforts gain momentum, it may be time to reconsider our stance on hyperscale data centres 鈥� not as faceless monoliths, but as potential partners in a more connected, equitable future.

In the UK, the Government is preparing to introduce a heat network zoning policy designed to accelerate development by pinpointing locations where heat networks offer the most cost-effective route to decarbonising heating systems. This aligns well with the untapped potential of data centres, which could play a key role in supporting these networks. Virtually all the electricity used by servers is eventually converted into heat 鈥� heat that is typically expelled into the environment and wasted. Given that the internal components of hyperscale data centres can reach temperatures as high as 85C, these facilities effectively function like large-scale electric boilers. By capturing and redirecting this excess heat into local heat networks, what is currently a waste product could become a valuable source of low-carbon energy.

“A team of 海角视频 experts, working for the Thames Estuary Growth Board, identified that for a data centre, roughly half the energy load is in cooling,” Glover says. “So, they make a really good source of waste heat.”

Shaping a new approach

The Thames Estuary Growth Board (TEGB) is driving green growth through the digital transformation of the Thames Estuary area, and has recognised the power of digital solutions to level up communities.

The Board commissioned a report to understand more about the implications of data centres in the region from a holistic perspective. It required an analysis on the data centre ecosystem in the region, to understand the economic, social, and environmental impacts on local businesses, residents, and authorities. 海角视频 conducted research and stakeholder engagement with key parties, and produced a report on the ecosystem and supply chain of data centres in the Thames Estuary, taking into account key UK Government objectives and illustrated the impacts for local supply chains, businesses, and communities.

In another study being developed currently, 海角视频 is also working with the Greater London Authority (GLA) to look at the impact of data centres to feed into the forthcoming London Plan.

Yalena Coleman, UK advisory director at 海角视频, who is leading both projects, believes local and national government is keen to understand the broader impacts of data centres on areas such as land use, infrastructure requirements and sustainability, as the digital ecosystem within the UK further develops.

“Understanding these nuances is a big part of the GLA and TEGB studies. Data centres can require a fair amount of land and power, as well as water. But from a central government perspective, there鈥檚 a drive to establish the UK as an AI superpower. So there is interest in the future of data centres, not only to support R&D, innovation and business growth, but also to strengthen data sovereignty within the UK so that our data can be hosted locally.

“From a local authority and community perspective, there is often a digital divide, with poor access to good digital services. Better access to data centres can provide a local area with secondary benefits in terms of a more robust digital infrastructure for improved service delivery, as well as highly skilled jobs within a small radius of the data centre.”

As nations look towards the electrification of heat networks as part of their efforts to slow climate change, ironically, these giant energy consumers could provide the infrastructure shift to move a nation away from heating its homes and businesses using gas-fired boilers in the coming decade.

“The heat is going to be coming off these data centres in tremendous amounts,” Jason Masters says, “and rather than just expel that waste heat into the atmosphere or push it into the water, it鈥檚 going to be so much more effective if, data centres located close to populations could use renewable or waste heat for their own thermal loads. This is a way for a data centre to become more accepted in the community.”聽

A big part of the value we bring is helping to develop innovative high performance building solutions that improve power and water usage effectiveness.

Chris McClean, 海角视频 partner

Chris McClean, a 海角视频 partner based in Los Angeles, says: “A big part of the value we bring to mission critical facilities with intensive loads, such as data centres, is helping to develop innovative high performance building solutions that improve power and water usage effectiveness, as well as understanding how the rapidly evolving technology will impact their utilities and infrastructure requirements in the decades ahead as we see the growth of things like AI and quantum computing.

“The US has limited city-level district thermal networks, but it鈥檚 growing, and data centre operators may also wish to look at opportunities for reusing waste heat in manufacturing or industrial processes to improve the overall performance.”

Delivering maximum benefits

Luke McGlone, UK head of digital infrastructure at 海角视频, says: “The data centre industry, and the hyperscalers in particular, are aware of the challenges of bringing their computing power to urban areas. We fully understand the challenges the data centres are facing with excess heat. There is a synergy to be achieved around how they can support the wider community.”

McGlone believes that the answer lies in sustainable infrastructure frameworks, which will assess and formalise an industry-wide approach to infrastructure investment.

“As engineering masterplanners, 海角视频 coordinates infrastructure deployment for some of the world鈥檚 most complex engineering challenges,” he says. “For us, it would be unfeasible to embark on a large-scale project without first evaluating the end-state infrastructure requirements. Many large-scale projects in the Middle East have infrastructure deployment routes mapped to match growth trajectories. In contrast, the data centre industry currently lacks a coordination mechanism, resulting in ad-hoc deployment of both data centres and supporting utilities. This places unnecessary strain on national grid systems and locates new infrastructure investment far from where it is most needed by society.”

Earlier this year, Microsoft warned that a decade-long backlog for new connections to the National Grid was leading to uncertainty over its 拢2.5bn pledge to build data centres across Britain[1]. The tech giant said the success and timing of data centre projects in Wales and the North of England in particular were dependent on whether the company could access the grid, having been told that connections could not be guaranteed 鈥渂efore 2035鈥�.

“The rise of AI and cloud computing is driving unprecedented demand for digital infrastructure,” McGlone adds. “But this isn鈥檛 just a challenge 鈥� it鈥檚 a coordination opportunity. By aligning hyperscaler investment with AI growth zones and coordinating power purchase agreements (PPAs), governments and industry can unlock shared value. Centralised planning allows infrastructure to be deployed more efficiently, while communities benefit from improved digital services, grid upgrades, and access to clean energy. With the right frameworks in place, data centres can become catalysts for inclusive growth 鈥� not just consumers of capacity.”

Societal shift

The UK Government鈥檚 forthcoming heat network zoning policy could mark a turning point for the data centre industry. Under this initiative, local authorities will be required to designate specific areas 鈥� known as Heat Network Zones 鈥� where low-carbon heat networks are expected to be the most cost-effective solution for heating buildings. Within these zones, large non-domestic buildings, including data centres, may be required to connect to local heat networks when it becomes economically viable to do so.

This presents both a challenge and an opportunity: while it introduces new regulatory expectations, it also incentivises data centres to harness and redistribute their substantial waste heat. Already, pilot projects in cities like London and Leeds are demonstrating how excess heat from data centres can be repurposed to warm homes and businesses, turning what was once a by-product into a valuable community asset.

Anthony Touffour, 海角视频鈥檚 global lead for GIS and digital twins adds: “Globally, the scale of AI investment is staggering; from the United States鈥� trillion-dollar digital infrastructure initiatives to Saudi Arabia鈥檚 $500 billion Vision 2030. The UK and Europe are also racing to establish themselves as AI powerhouses. Yet the solution to managing this growth is surprisingly simple: start with an engineering framework with integrated data and digital technologies such as digital twins.”

Digital twins, virtual replicas of physical systems, enable real-time simulation and analysis of infrastructure needs and impacts, helping decision makers and planners align grid capacity, streamline planning applications, and assess site suitability for innovations like heat reuse. This mirrors how we approach the design of next-generation cities.

But it isn鈥檛 just about having the right engineering tools. McGlone adds: “Policy must lead. In the Nordics, proactive regulation has enabled data centres to integrate with district heating systems, turning waste heat into a community asset. Germany鈥檚 Climate Neutral Data Centre Pact sets a clear benchmark for renewable energy use, while in the US, state-level incentives are beginning to unlock similar innovation. These are promising steps, but the real opportunity lies in aligning national policy with engineering frameworks from the outset. That鈥檚 how we turn infrastructure investment into long-term societal value.

“The technology is already here, and the frameworks are grounded in fundamental engineering principles. What鈥檚 needed now is policy 鈥� and an industry-wide commitment to embed sustainability at the heart of business processes to build a model that delivers for the whole of society.”

What are the real energy challenges for data centres? Read our article: 鈥�Unlocking the power of data centres鈥�.

Six key takeaways:

Recycling waste heat – Hyperscale data centres generate vast amounts of waste heat, with internal components reaching up to 85C. Instead of releasing this heat into the environment, it can be captured and redirected into local heat networks, effectively turning data centres into large-scale electric boilers that support low-carbon heating solutions.

Heat networks – The UK Government鈥檚 upcoming heat network zoning policy aims to designate areas where low-carbon heat networks are most viable. This creates an opportunity for data centres to contribute their waste heat to these zones, transforming a regulatory challenge into a community benefit.

Unlocking value – Strategic coordination between hyperscale data centre investment and AI growth zones can unlock shared value. By aligning infrastructure deployment with national planning and power purchase agreements, communities gain access to better digital services, clean energy, and upgraded grid systems.

Careful planning – The lack of coordinated infrastructure planning in the data centre industry leads to inefficient grid strain and misaligned investment. Sustainable infrastructure frameworks, like those used in Middle Eastern mega-projects, can guide deployment to match societal needs and growth trajectories.

Digital developments – Digital Twins 鈥� virtual models of physical systems 鈥� could play a key role, by enabling real-time simulation of infrastructure impacts. They help planners assess grid capacity, site suitability, and heat reuse potential, making them vital tools for integrating data centres into urban environments effectively.

Leading the way – Policy leadership is key. Examples from the Nordics, Germany, and the US show how proactive regulation can enable data centres to contribute to district heating and sustainability goals. Embedding sustainability into business processes, backed by strong policy, is essential to turning data centres into assets for society.

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[1] https://www.telegraph.co.uk/business/2025/03/30/microsoft-25bn-investment-threatened-by-power-shortages/