TNB Commits 6.4 GW to Data Centers Amid Growing Digital Energy Demand
TNB signs a landmark renewable energy supply agreement with DayOne, securing up to 500MW over 21 years. The deal reflects growing demand from Malaysia’s AI-driven data center sector.
Tenaga Nasional Berhad (TNB) has committed approximately 6.4 GW of electricity supply to 43 data center projects across Malaysia. This includes 21 centers already energized as of Q1 2025, positioning TNB as a central player in Malaysia’s evolving energy and digital landscape.
The data center boom in Malaysia is closely linked to the rise in AI computing workloads and cloud infrastructure needs. TNB is investing in grid upgrades and generation capacity to ensure reliable service for high-demand, energy-intensive users.
TNB aims to increase its renewable energy share to 70% by 2050. Its current strategy includes support for AI-driven grid optimization and deployment of Battery Energy Storage Systems (BESS).
Analysts from Kenanga Research and MIDF expect TNB to benefit from sustained digital and industrial growth. Despite tariff adjustments and rising electricity costs, the utility’s strategic role in digital infrastructure remains intact.
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