Germany had planned to double its data‑center capacity and quadruple AI compute by 2030. The 2023 Energy Efficiency Act had forced new sites to recycle waste heat into local heating networks, a rule developers said made many projects impossible. In June 2026 the government backed away from that mandate, allowing operators only to assess whether heat reuse is technically and economically feasible. The change is aimed at reviving stalled projects such as a $3 billion Hesse facility that was cancelled.
Why it matters
Easing the rule could reopen the German market for AI‑focused data‑center builds, helping the country meet its AI growth targets while still allowing climate considerations on a case‑by‑case basis.
