As demand for data centers continues to accelerate across Asia-Pacific, the sector is facing growing pressure from real-world constraints. GRESB’s recent “Data Centers: Impacts and Opportunities in Asia-Pacific” webinar explored how these challenges are reshaping development and operations across the region, while also creating opportunities for more resilient and sustainable growth.
Bringing together perspectives from GRESB and industry experts, the session examined how developers, owners, operators, and investors can respond to rising scrutiny around energy use, carbon strategy, water stewardship, climate risk, and sustainability reporting.
The session was opened by Rohendran Chelliah (GRESB), Business Development Manager in APAC, alongside Michele Joie Prawiromaruto (GRESB) and Tiago Forneiro (GRESB), who provided an overview of the GRESB Data Center Assessment. The panel discussion featured Bertrand Seah (Paia from CBRE), Seunghan Baek (One LG), and Dennis Wagenaar (Ventrx).
For those who missed the session—or would like to revisit the discussion—this article highlights the key takeaways and insights from the conversation.
Key takeaways
1. Data center sustainability needs a holistic approach, not a single-metric view.
Data center sustainability cannot be judged through one metric alone. While measures such as Power Usage Effectiveness (PUE) and Water Usage Effectiveness (WUE) remain important, speakers stressed that they only tell part of the story. A credible assessment must also consider total energy use, water dependency, climate risk, operational resilience, and governance.
2. Energy, water, and resilience are often in tension.
One of the biggest challenges in APAC is balancing operational reliability with resource efficiency. As compute density rises, especially with AI-driven workloads, cooling demands increase significantly. This can create trade-offs between energy consumption and water use, meaning operators need to choose solutions based on local conditions rather than relying on a one-size-fits-all model.
3. Cooling is a critical area for improvement.
Cooling was identified as one of the most material issues for data center performance, with panelists noting that it can account for a substantial share of total energy consumption. The discussion pointed to next-generation cooling technologies, including lower global-warming-potential systems and direct-to-chip liquid cooling, as important tools for improving efficiency while meeting performance requirements.
4. Physical climate risk must be addressed early.
A strong takeaway from the discussion was that physical climate risk is often easier and more cost-effective to address at the site selection and design stage than later in the asset lifecycle. Flooding, heat, and typhoons were highlighted as key risks in APAC, but the speakers also emphasized that risk assessments should not stop at the site boundary. Operators also need to assess critical dependencies, such as utilities and other supporting infrastructure.
5. Climate risk is highly site-specific.
The panel underscored that climate exposure can vary significantly even within a small geographic area. In particular, flood risk may be highly localized, meaning relatively small changes in site location or design elevation can materially reduce future exposure, improve insurability, and potentially lower long-term costs.
6. Sustainability is shifting from a “checkbox” to a business-critical issue.
The webinar made clear that sustainability is no longer treated purely as a reporting exercise. In many APAC markets, it is becoming a condition for development, investment, financing, and social license to operate. Stakeholders increasingly expect sustainability to be integrated into core business and development decisions from the outset.
7. Credible reporting depends on consistency, transparency, and context.
Panelists stressed that credible sustainability communication comes from regular, evidence-based disclosure. Organizations need a clear baseline, reliable data collection processes, and year-on-year reporting that shows progress transparently. The market is also demanding more context around trade-offs and operational realities, not just headline performance claims.
8. Standardized frameworks can help new entrants build a solid foundation.
For companies entering the data center sector for the first time, the speakers highlighted the value of using established reporting frameworks rather than building bespoke systems from scratch. A combination of broader sustainability standards and sector-specific data center metrics was presented as the most useful route for building credible and comparable reporting.
9. Start with the most material issues, then build from there.
For organizations with limited time or resources, the panel emphasized focusing first on the most material and context-specific challenges. This includes understanding local constraints—such as energy availability, water use, and climate risk—and prioritizing the areas that have the greatest impact on performance and resilience. Rather than trying to track everything at once, the discussion highlighted the importance of starting with a few key metrics and building a clearer, more complete picture over time.
Outlook
Sustainability in data centers is increasingly becoming an operational priority, not just a reporting exercise. As demand grows across APAC, sustainability is becoming directly tied to site selection, infrastructure resilience, financing, and long-term asset performance. At the same time, the right approach is highly context-dependent—factors like location, climate, and utility constraints mean strategies must be tailored rather than standardized.
The discussion highlighted a shift toward greater accountability, with more emphasis on transparent, comprehensive performance data and clearer links between sustainability actions and business outcomes. For many organizations, the most effective path forward is to first identify all material issues, then prioritize action where risks and opportunities are greatest.