Can Europe Build Data Centers Without Giving Up Its Climate Goals?

However, Germany has found that its AI ambitions are butting up against its climate commitments. EU member states have committed to cutting greenhouse gas emissions by 55 percent by the end of the decade. But policies meant to help meet that target are interfering with attempts to trigger a data center building frenzy.

As part of its broader climate commitments, the previous German administration voted through the Energy Efficiency Act in 2023. Among other things, it required all new data…