Overview
- The European Commission proposed the new disclosure and labelling rules on Monday, September 21, 2026, requiring operators to report site efficiency so the EU can track how data centres use electricity and water.
- Sites with an electrical capacity of 500 kW or more must report energy and water efficiency metrics that the Commission will use to auto-generate colour-coded A–G labels, with the first labels expected to appear in 2027.
- The label will include links between a data centre’s water use and local water stress and whether the site provides grid services such as waste heat reuse or extra clean power generation.
- The proposal does not set caps on total energy or water consumption nor require disclosure of total power use, but the Commission says the label could lead to binding minimum performance standards later.
- EU governments and lawmakers have two months to object to the delegated regulation, and the measure is meant to support the bloc’s plan to expand domestic data-centre capacity to back AI while limiting local energy and water impacts.