JOHOR BAHRU, January 9 – The Johor state government has reaffirmed that all data centre projects are subjected to rigorous evaluation before approval, with assessments carried out by a Special Technical Committee comprising state and federal agencies.

State Public Works, Transportation, Infrastructure and Communications Committee chairman Mohamad Fazli Mohamad Salleh said projects are reviewed holistically, focusing on water and electricity requirements, utility capacity and the suitability of proposed locations, amid public concerns over the impact of data centres on treated water supplies.

He said Johor applies a Water Usage Efficiency (WUE) threshold of 1.8, matching Singapore’s standard, though meeting this benchmark alone does not guarantee approval, which also depends on local water availability.

The committee encourages the use of advanced cooling technologies with lower water consumption and, where necessary, alternative water sources such as recycled treated water or supplies coordinated with Johor Special Water, to ensure public water resources are not affected.