As Johor’s data centre scene sizzles, new projects face stricter criteria

As Johor’s data centre scene sizzles, new projects face stricter criteria


Applications are now assessed for their potential to offer higher-paying jobs, as the Malaysian state adopts a more selective approval process

[KUALA LUMPUR] As Johor’s data centre industry booms, the state has tightened the reins on new approvals, prioritising high-value investments that deliver better-paying jobs for Malaysians, according to a senior executive from the state’s investment promotion agency.

While these billion-ringgit facilities are drawing significant global interest, they are also straining local resources, such as electricity and water. 

This has prompted the state government to re-evaluate its approach to approving new data centre projects as global investor interest continues to grow, Invest Johor chief executive Natazha Harris told The Business Times in a recent interview.



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