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Home India Government

AI Data Centres Exempt from Environmental Clearance Under Certain Conditions

ainewsroom kairos by ainewsroom kairos
August 6, 2026
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Artificial Intelligence (AI) data centres do not require environmental clearance under certain conditions, but must comply with other regulations.

The Press Information Bureau has announced that Artificial Intelligence (AI) data centres are exempt from obtaining Environmental Clearance (EC) under the Environmental Impact Assessment (EIA) Notification, 2006, as amended. However, if these data centres are part of a 'Building and Construction Project' with a built-up area exceeding 20,000 sq. m or a 'Township and Area Development Project' covering an area of 50 ha or more, they will require prior EC. The EC is granted by the State Environment Impact Assessment Authority (SEIAA) at the State/UT level.

During the appraisal process for granting EC, various environmental aspects such as water availability in water-stressed regions, water balance reports, greywater generation, recycling, and reuse are considered. The use and discharge of water and greywater during construction and operation of AI data centres are regulated under the Water (Prevention and Control of Pollution) Act, 1974, and the Air (Prevention and Control of Pollution) Act, 1981. Compliance with these acts is monitored by the concerned State Pollution Control Board (SPCB) or Pollution Control Committee (PCC).

Groundwater extraction for infrastructure/commercial projects is regulated in accordance with the guidelines issued by the Ministry of Jal Shakti. The Bureau of Energy Efficiency (BEE) has also issued the District Cooling Guidelines, 2023, which recommend using treated water as cooling tower make-up water and promoting sustainable water management.

The 'Resilience, Innovation & Efficiency' Working Group of the India AI Impact Summit, set up by the Ministry of Electronics and Information Technology, is examining energy efficiency, water management, and environmental resilience in digital and AI infrastructure.


Source:

Press Information Bureau

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