Johor bahru: Johor has set a national precedent by becoming the first state in Malaysia to integrate Tier 4 data centre technology, embedding advanced air cooling and wastewater recycling systems as part of its sustainable development goals in the sector.

According to BERNAMA News Agency, Johor Menteri Besar Datuk Onn Hafiz Ghazi announced the signing of several important agreements aimed at supporting the state’s water sustainability initiatives and advancing green technology. Notably, the Treated Effluent Supply Agreement between Indah Water Konsortium (IWK) and Johor Special Water (JSW) facilitates the supply of treated effluent from IWK sewage treatment plants across Johor for the production of reclaimed water for data centre cooling systems.

Onn Hafiz highlighted that this agreement positions Johor as the first Malaysian state to embrace Tier 4 data centre technology, which includes air cooling systems and wastewater recycling. He made these remarks during a ceremony recognizing the use of alternative water in Johor’s data centre industry.

Further agreements include a collaboration between JSW, Bridge Data Centres (BDC), and Computility Technology (Malaysia) Sdn Bhd. This involves supplying treated effluent for reclaimed water production. Since June 9, 2025, BDC has been producing reclaimed water at its data centre in the Ulu Tiram Industrial Area, becoming the first investor to directly utilize this technology from an IWK treatment plant. Computility is also in the final phase of implementing its reclaimed water production system at Setia Eco Garden, Iskandar Puteri, with full operation expected by December.

Another significant agreement is the Raw Water Supply Agreement between JSW and DayOne Data Centres Sdn Bhd, which outlines the supply of raw water from Sungai Tebrau for treatment and use in cooling systems at a data centre in the Kempas Tech Park. Construction of the reclaimed water supply system is underway and expected to be operational by November.

These strategic initiatives aim to bolster Johor’s water sustainability efforts while propelling the development of resilient, energy-efficient, and environmentally friendly data centre infrastructure within the state.