Terms behind the data centre debate

Data centre

A facility that houses servers, storage systems, networking equipment, cooling systems, power infrastructure, and security systems used to store and process digital data.

Hyperscale

A very large data centre or campus built for massive cloud or AI workloads, usually operated by or for large technology companies.

Colocation

A commercial data centre model where multiple customers rent space, power, cooling, and connectivity inside a shared facility.

MW / GW

Megawatt and gigawatt measure power capacity. One gigawatt equals 1,000 megawatts. Data centre announcements often use these units to describe electricity demand or campus scale.

PUE

Power Usage Effectiveness is an efficiency ratio comparing total facility energy use with the energy used by computing equipment. Lower is generally more efficient.

Water footprint

The water used directly for cooling and operations, plus indirect water use linked to electricity generation and supply chains.

Environmental clearance

A government approval process that assesses potential environmental impacts before certain projects are allowed to proceed.

Cumulative impact

The combined effect of multiple projects in the same region, such as several campuses drawing from the same grid, water basin, transport network, or land market.

Data Centre Economic Zone

A proposed or designated area with pre-planned land, power, connectivity, and approvals intended to attract data centre investment.

Essential-service status / ESMA

A classification that can protect continuous operations and restrict disruption. In data centre policy, it is often used to signal assured services and reduced operational interruption.

SGST reimbursement

A state incentive where part or all of the State Goods and Services Tax paid by a project may be reimbursed under policy conditions.

Electricity-duty waiver

A state incentive that reduces or removes a duty charged on electricity consumption, lowering operating costs for eligible projects.

Stamp duty

A tax paid on legal documents and property transactions. Waivers or concessions can reduce the cost of land acquisition or leasing.

Safe harbour

A tax or regulatory rule that gives certainty if a company follows specified pricing, margin, or compliance conditions.

DISCOM

A power distribution company responsible for supplying electricity to consumers in a particular area.

Open access power

A framework that lets eligible large consumers buy electricity directly from generators rather than only from the local distribution company.

Captive power

Electricity generated by a company primarily for its own use, often through a dedicated power plant or renewable-energy arrangement.

Subsea cable landing

A coastal point where undersea internet cables connect to land-based networks, making nearby locations attractive for data infrastructure.

PIL

Public Interest Litigation, a legal action filed to raise issues affecting the public or a community rather than only a private dispute.

RTI

Right to Information. In India, RTI applications can be used to request government records about policies, approvals, land, water, subsidies, and public decisions.

FGD

Flue-gas desulphurisation, pollution-control equipment used in thermal power plants to reduce sulphur dioxide emissions.

Panchayati Raj institution

A local self-government body in rural India. Panchayat consultation and consent can be central to land, livelihood, and resource-use disputes.

MeitY

India's Ministry of Electronics and Information Technology, a key national ministry for digital infrastructure, data governance, and technology policy.

DPDP Act

The Digital Personal Data Protection Act, 2023, India's personal-data protection law. It is part of the wider data-governance context often cited in infrastructure debates.