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Sweden's green datacentre model offers lessons for energy planners

A facility in Falun shows how datacentres can be built using renewable power, timber and local district heating integration.

By the CEII Desk, from reporting by The Guardian

Key points

  • EcoDataCenter in Falun uses 100% renewable electricity split between hydroelectric and wind power.
  • The facility is constructed from cross-laminated timber, significantly reducing embodied carbon.
  • Excess heat from the datacentre is redirected to local wood pellet drying and district heating systems.

What happened

As global demand for digital infrastructure and artificial intelligence surges, the environmental footprint of datacentres has emerged as a major political and energy challenge. According to The Guardian, a facility operated by EcoDataCenter in the Swedish town of Falun offers an alternative approach by combining sustainable construction materials with 100% renewable energy sourcing.

The complex is built primarily from cross-laminated timber rather than traditional steel and concrete. Company officials note that this timber-based construction reduces the embodied carbon of the structure significantly compared with conventional building methods. The facility operates with a capacity of 80MW, supported by a power supply that draws 75% from hydroelectric sources and 25% from wind generation.

Energy efficiency metrics at the site remain low, with a carbon usage effectiveness of 1.17gCO2/kWh and a power usage effectiveness of 1.15. Backup generators on site are fuelled by hydrotreated vegetable oil rather than fossil diesel. Furthermore, the heat generated by the intensive computing hardware is captured and reused. Part of this thermal energy dries wood pellets, while the remainder feeds directly into the local municipal district heating network.

Why it matters

For African energy planners and policymakers, the rapid expansion of digital infrastructure presents both an opportunity and a grid management challenge. While the world average for renewable electricity output stood at 27.8 percent in 2021 according to World Bank figures cited in the CEII data, nations seeking to expand their digital economies must balance surging power demand with decarbonisation goals.

The Swedish model demonstrates that large industrial power consumers can be integrated into local energy systems to support grid stability rather than strain capacity. By utilising surplus renewable generation in rural regions and repurposing waste heat for municipal use, energy investors and regulators in emerging markets can explore similar circular frameworks to reconcile digital growth with sustainable energy transitions.

Original reporting

This article draws on the following reports. Read them in full on the publishers’ sites.

Context from CEII

Renewables are the fastest-growing part of the world’s energy system. The COP28 goal is to triple capacity by 2030, and solar mini-grids are the fastest route to power for millions of people without electricity.

67.4% of electricity in Sweden was renewable in 2021

Countries in this story

Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.

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