The shortage of electricity in areas where data centres are concentrated is threatening the industry’s expansion in the Netherlands, the Dutch Data Centre Association says.

The situation is particularly acute around Amsterdam ‘where expanding the electricity grid is no longer possible,’ the association says.

‘The success of the digital economy and its competitive position internationally depends a lot on how good the energy infrastructure is and how it grows,’ the association said.

This, in turn, demands an integral plan of action, a dedicated task force and major investments.

The Netherlands needs to develop an emergency plan or the country’s position as a ‘digital leader’ will be under threat, DDA director Stijn Grove said. In particular the situation at Schiphol Rijk, Amsterdam Zuidoost and on the Amsterdam science park, all hotspots for data centres, requires urgent action, he said.

The problem is being made worse by the growth in office and residential housing and the shift towards more sustainable sources of electricity is also having an impact on capacity, the DDA says.