Unlocking the Potential of Low-Carbon Fuels for Data Centers

This position paper discusses the integration of low-carbon fuels, specifically Hydrotreated Vegetable Oil (HVO), in Singapore's data center industry. It outlines the current challenges faced by the industry, including the need for reliable backup power and alignment with national net-zero targets. The document details the benefits of HVO, which can provide significant CO2 emissions reductions while maintaining compatibility with existing diesel infrastructure. It emphasizes the importance of regulatory measures to support HVO adoption and the necessity of harmonizing standards to facilitate compliance and investment. Additionally, the paper presents the Green Data Centre Roadmap (GDCR) as a framework for transitioning to sustainable energy sources. It highlights the collaborative approach required among data center operators, fuel providers, and policymakers to achieve a sustainable ecosystem. The document concludes by advocating for strategic policy interventions to unlock the economic potential of sustainably sourced HVO, thereby advancing Singapore's leadership in sustainable data center operations.