A progressive framework, not a prescription.
Singapore's draft Digital Infrastructure Bill 2026 represents an important step in the regulation of data centres as critical economic infrastructure with significant energy and environmental consequences. The Bill expressly contemplates facility-level energy-efficiency requirements, equipment-level energy-efficiency requirements, water-efficiency requirements, regular compliance reporting, codes of practice, audits, remedial directions and financial penalties.
This white paper supports the objective of improving data-centre sustainability but argues that the regulatory framework should remain sufficiently progressive to recognise a fundamental distinction:
Traditional data-centre efficiency measures appropriately examine how efficiently electricity is supplied to information technology equipment and how much additional energy is consumed by cooling, power distribution and other supporting infrastructure. These measures remain essential. However, the rapid growth of artificial intelligence raises a further question:
A data centre may become increasingly efficient at delivering electricity to servers while those servers perform unnecessary, duplicative, poorly targeted or avoidable computation. Conversely, a new computing architecture may achieve an equivalent or superior useful outcome using substantially fewer computational resources.
The draft Bill already creates a basis for broader thinking by distinguishing facility-level energy efficiency from equipment-level energy efficiency. This paper proposes that Singapore progressively develop a three-layer framework:
Energy and Infrastructure Efficiency
IT Equipment Efficiency
Computational Outcome Efficiency
The proposed approach is technologically neutral. Government should not determine which particular hardware, algorithm, energy architecture or computing model must be used. Instead, the regulatory framework should allow operators and innovators to demonstrate, through measurable and auditable evidence, that a required outcome can be achieved with fewer resources while preserving security, resilience and reliability.
The law should regulate required outcomes — while leaving engineering free to discover better methods of achieving them.
This paper therefore recommends, among other measures, an outcome-based alternative compliance pathway, recognition of system-level efficiency improvements, real-world operational measurement, an innovation sandbox, and the progressive development of metrics that relate resource consumption to useful computational outcomes.
The objective should ultimately be:
A structural challenge — and an opportunity.
Singapore faces a structural challenge shared by advanced digital economies but intensified by its physical and resource constraints.
The country seeks to remain a leading global digital and artificial-intelligence hub while managing limited land, energy and water resources. Data centres are indispensable to the first objective and materially affect the second.
The draft Digital Infrastructure Bill responds by establishing a licensing and compliance framework for data-centre operators. Section 33 expressly contemplates prescribed minimum facility-level energy-efficiency requirements, equipment-level energy-efficiency requirements for information technology equipment, and minimum facility-level water-efficiency requirements. Sections 34 and 35 provide for regular reporting, possible audits and codes of practice relating to energy and water efficiency.
This is an important regulatory development.
It also creates an opportunity.
The International Energy Agency reported in April 2026 that global data-centre electricity consumption rose by 17% in 2025, while electricity use by AI-focused data centres grew even faster. Although energy consumed per AI task is improving rapidly, increasing adoption and more energy-intensive applications, including AI agents, continue to drive aggregate demand upward.
Singapore has already begun addressing both sides of data-centre efficiency. Its Green Data Centre Roadmap includes facility efficiency and compute or IT-equipment efficiency, while the Singapore Standard on Energy Efficiency of Data Centre IT Equipment, SS 715:2025, is intended to support reductions in IT-equipment energy consumption.
Three questions
The next progressive step is to recognise that three different questions are involved:
How efficiently is energy delivered to the computing equipment? — Power distribution, conversion, cooling and supporting infrastructure.
How efficiently does the computing equipment operate? — Servers and other IT equipment.
How much computation is actually required to achieve the intended outcome? — The relationship between resource consumption and useful computational work.
These questions are related but not identical.
A facility may improve its Power Usage Effectiveness while the computational workload itself continues to expand. PUE measures the relationship between total facility energy and IT-equipment energy; it does not, by itself, determine whether the IT workload is producing the required outcome with the minimum necessary computation.
The central proposition of this white paper is therefore:
Such a pathway would not require government to decide whether one algorithm, AI model or power architecture is superior to another. It would instead permit innovators to demonstrate:
Efficiently powering more computation
Computing more efficiently
The proposed regulatory architecture is:
Equivalent or superior defined outcome
Lower verified resource consumption
This approach could make Singapore's legislation more progressive in three respects.
First, it would avoid unintentionally freezing present-day engineering methods into future compliance standards.
Second, it would create incentives for innovation across the entire energy-to-computation chain rather than only within individual components.
Third, it would recognise a fundamental principle of sustainability:
The Bill creates a new energy-compliance architecture.
A dedicated licensing regime for data centres
The draft Digital Infrastructure Bill establishes a dedicated licensing regime for data-centre operators. Its structure places environmental sustainability within the continuing obligations of operating regulated data-centre infrastructure rather than treating sustainability solely as a voluntary objective.
Section 33 is particularly significant. It requires a licensee, subject to requirements to be prescribed, to ensure:
- compliance with minimum facility-level energy-efficiency requirements;
- compliance by installed information technology equipment with equipment-level energy-efficiency requirements; and
- compliance with minimum facility-level water-efficiency requirements.
The legislation therefore recognises at least two distinct energy-efficiency domains:
PUE, cooling, distribution
SS 715:2025, IT efficiency
This distinction is important.
A data centre is not merely a building that consumes electricity. Nor is it merely a collection of computers. It is a system in which energy is sourced, converted, distributed and ultimately consumed to perform computation.
Compliance is intended to be continuing and evidential
The proposed regime does not appear to treat energy efficiency as a one-time design requirement.
Section 34 requires periodic reports concerning compliance with the relevant Part of the legislation, regulations, licence conditions and applicable codes of practice. The Authority may require such a report to be audited and accompanied by an auditor's report. Section 35 permits the Authority to issue or approve codes of practice relating to measures for ensuring energy and water efficiency.
The resulting regulatory structure can be represented as:
with Audit and Remediation branching from Reporting.
This is important because it creates an opportunity for evidence-based innovation. If compliance is measured and audited, the framework need not rely solely on prescribed technologies. It can potentially recognise actual performance.
The question is therefore whether the regulatory framework should provide only:
or also:
This white paper recommends both.
The risk of technology lock-in
Codes of practice are necessary. They provide operators with certainty and allow regulators to establish minimum standards.
However, detailed technical requirements can create an unintended problem if compliance becomes inseparable from the use of particular architectures or methods.
A regulatory framework developed around current technology may inadvertently establish:
The result can be paradoxical.
A new technology may produce a better environmental outcome but face difficulty because it does not operate according to the method assumed by the existing compliance framework.
This risk is especially relevant in rapidly developing fields such as:
- artificial intelligence;
- computing architectures;
- advanced cooling;
- power electronics;
- energy storage;
- renewable-energy integration; and
- dynamic workload management.
The legislation should therefore distinguish between:
Use an approved method or meet a prescribed technical specification.
Demonstrate, through accepted measurement and verification, that the required or superior outcome has been achieved.
Both have legitimate roles. The progressive principle should be:
The case for an alternative compliance pathway
This white paper recommends that the Bill, regulations or codes of practice expressly permit an Alternative Performance-Based Compliance Pathway.
Under such a pathway, an operator or technology provider could demonstrate that an alternative system achieves:
- the required level of energy efficiency or better;
- equivalent or better security;
- equivalent or better operational resilience;
- equivalent or better reliability; and
- independently verifiable performance.
The architecture would be:
This would make the regulatory framework technology-neutral in practice, not merely in principle.
From energy delivered to outcome produced.
The energy-to-computation chain
Data-centre energy consumption should be understood as a system. A simplified chain is:
Efficiency can be lost or improved at every stage. The regulatory challenge is that no single metric necessarily captures the entire chain.
For example, PUE is commonly expressed as:
This is valuable for assessing facility overhead. A PUE approaching 1 indicates that a greater proportion of facility energy is reaching IT equipment rather than being consumed by supporting infrastructure.
But consider two hypothetical systems:
100 units of IT energy → Required outcome
20 units of IT energy → Same required outcome
If both facilities have the same PUE, PUE alone does not distinguish the computational efficiency of the two workloads. This is not a criticism of PUE. It is a recognition of its purpose. A metric should not be criticised for failing to measure something it was not designed to measure.
The policy implication is that facility metrics should be complemented, not discarded.
The missing endpoint: useful computational outcome
The conventional measurement chain may stop at:
But the economic and social purpose of a data centre lies beyond the equipment. The equipment exists to produce:
- information;
- inference;
- storage;
- communication;
- simulation;
- transactions;
- scientific results;
- digital services; or
- other computational outcomes.
The complete chain is therefore:
A progressive efficiency framework should ultimately be capable of asking:
This paper refers to that concept as Computational Outcome Efficiency. It can be expressed conceptually as:
This is not proposed as a single universal numerical metric. Different workloads have different purposes. A medical model, database query, scientific simulation and language model cannot necessarily be compared through one common output unit.
The concept should therefore initially be applied through like-for-like or mission-equivalent comparison. The appropriate question is:
The rise of AI makes the question urgent
The energy demand associated with data centres is increasing rapidly. The International Energy Agency projects major growth in global data-centre electricity demand, with AI being an important driver. Its 2025 analysis projected global data-centre electricity consumption reaching around 945 TWh by 2030, while its 2026 update reported continued rapid growth and noted that aggregate demand can rise even while energy consumed per AI task falls.
This reveals a fundamental distinction between:
Energy per unit of work is falling.
Aggregate demand keeps rising.
An individual AI operation may become more efficient while the number, complexity and autonomy of AI operations increase faster.
Therefore, sustainability cannot rely solely on improving the efficiency of each unit of hardware. It must also consider:
- workload utilisation;
- computational redundancy;
- unnecessary processing;
- task scheduling;
- model and architecture efficiency;
- reuse of prior computation where appropriate;
- whether a task remains necessary; and
- whether a smaller computational pathway can achieve the required outcome.
This is consistent with broader international analysis identifying not only infrastructure efficiency but also server efficiency, utilisation and shutdown of underused equipment as material data-centre energy-efficiency opportunities.
The first principle: do not consume what is not required
Most energy-efficiency strategies ask:
A deeper question is:
This produces two complementary approaches.
The two approaches should not compete. They multiply.
This gives rise to a central principle:
The greenest computation may be the computation that was not necessary to perform.
This proposition should not be interpreted as an argument against computing or AI. It is an argument for purposeful computing.
Static efficiency and dynamic reality
Data centres operate in changing conditions. Variables include:
- workload demand;
- server utilisation;
- energy availability;
- grid conditions;
- renewable generation;
- storage state;
- ambient temperature;
- cooling demand; and
- urgency of computation.
A system that is optimal at one moment may not be optimal at another.
Standardised test conditions remain indispensable because they permit comparison. However, operational compliance should also be capable of recognising measured real-world performance. The regulatory framework should therefore support both:
Benchmarking
Measurement
This principle is already compatible with a regulatory regime built around continuing reporting and audits.
System-level efficiency
Efficiency improvements can propagate through the data-centre system. For example:
Similarly:
A component-level metric may fail to recognise the full system effect. This white paper therefore proposes that, where causation can be measured and verified, the compliance framework should permit system-level efficiency accounting.
The governing principle should be:
The system boundary must be defined transparently to prevent double counting.
Three domains where innovation is possible.
Why technology neutrality matters
The purpose of this section is not to propose that Government adopt any particular proprietary technology. It is to demonstrate the range of innovations that a progressive regulatory framework should be capable of evaluating.
The innovation landscape can be divided into three broad domains:
Innovation may improve:
- how energy is sourced;
- how energy is converted, stored and delivered; or
- how much computation is required.
A regulatory framework focused only on one layer may fail to recognise improvements elsewhere.
Innovation domain one: renewable-energy utilisation
The first domain concerns the relationship between variable renewable resources and usable electrical output. New architectures may seek to improve:
- utilisation of available renewable energy;
- operation under variable environmental conditions;
- direct energy admission;
- reduced conversion stages;
- dynamic matching of available energy and load; and
- integration with storage.
The author's Solar Driver™ work is one example of an experimental architecture directed at real-time alignment between available solar conditions and delivered output. The underlying proposition is that energy performance should be evaluated across time and actual operating conditions rather than solely through a peak operating point. The author's own materials describe Irradiance-Output Correlation as a proposed method for examining the relationship between available irradiance and output over time.
At present, these concepts should be treated as innovation candidates requiring independent, application-specific validation before any claim of data-centre compliance or performance improvement is made.
The policy relevance is broader than the particular technology:
Innovation domain two: power conversion, storage and continuity
Data centres require both efficiency and continuity. The engineering objective is therefore not simply:
but:
Alternative power architectures may seek to reduce:
- conversion stages;
- switching losses;
- resistive losses;
- unnecessary intermediate processing;
- storage and discharge losses; and
- duplicated infrastructure.
The author's broader energy work includes proposed architectures involving energy admission, storage, switching and power-flow management. These technologies have not been established by the draft Bill as compliance mechanisms and would require appropriate engineering validation for data-centre use.
Their relevance to policy is again methodological:
An alternative architecture that safely and reliably achieves the required electrical outcome with lower verified total loss should be capable of entering an approved test and compliance pathway.
Innovation domain three: mission-first and low-compute architectures
The third domain may become increasingly important as AI-related demand grows. Conventional computational systems frequently receive a request and process information to determine an output.
An alternative approach may begin by defining the required mission or outcome and reducing the computational search space before expensive processing occurs. Conceptually:
If such an architecture can produce an equivalent or superior defined outcome with less compute, then:
The author's work in Mission-First computing and Relational Code™ explores this broader proposition. A related patent document describes adaptive computational pathways and the reduction of computational redundancy as intended objectives of a relational computing framework.
These are proposed architectures rather than established regulatory metrics. The policy point is nevertheless significant:
Where the same required digital outcome can be achieved with less computation, the resulting energy reduction is a legitimate form of efficiency.
A proposed resource-intelligent computing framework
The three innovation domains can be brought together in a common architecture:
What digital outcome is required?
What computation is necessary?
What resources are available?
What operating state best achieves the mission?
Possible operating states may include:
This paper refers to the general concept as Resource-Intelligent Computing. It is not a proposal that every data centre must use one particular control system. It is a regulatory principle:
Eight recommendations for a progressive framework.
Preserve the Bill's two existing efficiency layers
The distinction in section 33 between facility-level and equipment-level energy efficiency should be preserved. This is a strong foundation. The two categories recognise that an efficient building cannot compensate indefinitely for inefficient IT equipment, and efficient IT equipment does not eliminate facility overhead.
Enable future recognition of computational outcome efficiency
The legislation or its subsidiary framework should be drafted broadly enough to permit future recognition of verified reductions in the computational resources required to achieve a defined or equivalent digital outcome. This need not immediately become a mandatory universal metric — it could develop through voluntary reporting, sandboxes, pilots, sector benchmarks, procurement incentives or alternative compliance pathways.
Create an alternative performance-based compliance pathway
The Authority should be empowered expressly to recognise an alternative method where an operator demonstrates equal or better required outcome, equal or better resilience, and lower verified resource consumption. The burden of proof rests on the party seeking recognition; evidence should be measurable, reproducible, auditable, based on an agreed system boundary, independently verified where appropriate, and compared against a valid baseline.
Recognise operational performance alongside standardised ratings
Standardised tests are essential for comparability. Actual operating conditions are essential for reality. The regulatory framework should permit both — allowing regulators to identify technologies that perform well in real-world tropical, variable-load or AI-intensive environments while retaining standardised benchmarks.
Permit system-level efficiency accounting
Where an innovation produces verified effects across multiple layers, the framework should permit those effects to be recognised. Safeguards should include defined measurement boundaries, prevention of double counting, baseline consistency, treatment of rebound effects, treatment of reliability changes and independent verification where material.
Establish a data-centre energy innovation sandbox
Singapore should consider a dedicated sandbox for technologies that may improve data-centre sustainability but do not fit neatly within established architectures — including alternative power-conversion, advanced storage, renewable integration, dynamic energy admission, workload shifting, low-compute AI, mission-based computing, advanced cooling, waste-heat utilisation and integrated energy-compute optimisation.
Reward continuous improvement
Minimum thresholds are necessary, but they can create a compliance ceiling if the regulatory incentive ends once the threshold is reached. Singapore should recognise year-on-year verified improvement, performance beyond minimum standards, demonstrated reductions in resource intensity, successful deployment of validated new technologies and transparent sharing of non-proprietary performance data.
Require evidence proportionate to the claim
A progressive framework should be open to innovation but rigorous about evidence. A possible hierarchy: Level 1 — Laboratory evidence; Level 2 — Pilot evidence; Level 3 — Independent field validation; Level 4 — Compliance recognition; Level 5 — Scaled deployment evidence. Innovation should not be rejected because it is new, and it should not be accepted merely because it is new. Evidence is the bridge.
Present direction, proposed development.
The following matrix summarises the paper's proposals against the present direction of the draft Bill. Some measures may be implemented through primary legislation; others through regulations, codes of practice, regulatory guidance, licence conditions, sandbox programmes or voluntary standards.
Prescribe the standard — without freezing the method.
Possible principle for section 33 or subsidiary legislation
Without attempting to replace Parliamentary Counsel's drafting, the following policy language illustrates the intended direction:
A further provision or code could provide:
The precise legal drafting would require governmental review. The policy objective is clear:
Prescribe the Standard · Without Freezing the Method
Constraint can become an innovation advantage.
Singapore's constraint can become an innovation advantage
Singapore cannot compete indefinitely through unlimited land, unlimited water or unlimited domestic energy resources. Its comparative advantage lies elsewhere:
The draft Bill creates an opportunity to combine all three. The policy choice is not simply between:
More data centres
More sustainability
A third path exists:
Singapore's Green Data Centre Roadmap already seeks sustainable growth and includes work on both facility and IT-equipment efficiency. The draft Bill can provide the legislative architecture for the next stage. Singapore could become a global testbed for:
Regulate the outcome. Liberate the engineering.
The draft Digital Infrastructure Bill 2026 represents an important transition in Singapore's approach to digital infrastructure.
Data-centre energy and water efficiency are no longer merely matters of voluntary good practice. The Bill contemplates continuing legal obligations, reporting, codes of practice, audits and enforcement. That creates both responsibility and opportunity.
The first generation of data-centre sustainability asks:
The next generation must also ask:
These questions should not replace one another. They form a chain:
A progressive regulatory framework should therefore preserve established standards while remaining open to architectures that improve performance elsewhere in the chain. The proposed approach is not to regulate particular algorithms or technologies. It is to establish a simple principle:
This requires:
- strong minimum standards;
- technology neutrality;
- performance-based alternative compliance;
- operational measurement;
- system-level accounting;
- independent verification;
- regulatory experimentation; and
- continuous improvement.
The resulting regulatory philosophy can be expressed simply:
Singapore's resource constraints make this question urgent. Its technological and regulatory capabilities make leadership possible. The objective should not be merely to build data centres that consume energy more efficiently. It should be to build a digital economy that produces:
The greenest computation may ultimately be the computation that was never necessary to perform.
A single sentence.
The greenest computation may ultimately be the computation that was never necessary to perform.
A progressive regulatory framework should preserve strong minimum standards while remaining open to architectures that reduce total resource consumption elsewhere in the energy-to-computation chain. Regulate the outcome; liberate the engineering.



Join the conversation.
Share your response to the paper. Sign in to comment as a verified reader, or leave a note as a guest.