KUALA LUMPUR, Aug 21 — Google’s decision to select Selangor as the site for its first data centre in Malaysia was driven by the state’s facilitative approach and enabling environment, said its Asia Pacific Global Infrastructure principal Ken Siah.
He highlighted Invest Selangor Bhd’s cooperation and support as a notable example, given its willingness to work with Google in advancing the broader interests of the state.
“Work with Invest Selangor has been very constructive and facilitative. One of the reasons why we invested in Selangor was because we saw an approach where we could work together for the benefit of the local economy and community,” he said in a recent interview with Media Selangor at its Malaysia headquarters at Axiata Tower.
Siah was commenting on Google’s USD$2 billion (over RM8 billion) investment in Malaysia, including the development of its first Google data centre and Google Cloud region, at Elmina Business Park, Selangor, which was first announced on May 30, 2024.
The project is expected to generate over US$3.2 billion (RM13.05 billion) in positive economic impact by 2030.
Siah, who is part of Google’s data centre investment and development team covering the Asia-Pacific region, said the site selection also goes through a rigorous process, including identifying locations where its operations can be developed without harming local resources or communities.
“We conduct a lot of scientific analysis and studies to make sure that when we enter a location, we can protect its resources, engage in partnerships with the local community, and support the local economy in a positive way,” he said.
Environmental, community assessments
Site selection for its data centres begins well before a decision is made to invest, with Google conducting environmental assessments covering factors such as grid capacity, watershed health, and local ecology.
The tech giant also carries out water risk assessments based on extensive historical data to determine whether a location is capable of supporting data centre operations without placing additional pressure on local water resources.
“If we find through those assessments that there is going to be an adverse impact that cannot be mitigated by a data centre development, then it is very simple: we will not go there.
“We need to carry out all these testings first before determining whether we are comfortable investing in a data centre in a way that protects the resources of the local community,” Siah said.
He added that community considerations are also a crucial part of Google’s assessment, as it seeks to understand the needs of communities in areas where it plans to establish long-term operations.
"There will be assessments and discussions with community members, including journalists, on the needs of this community, what we can to support them with and what sort of partnerships we can pursue,” Siah said.
As Google’s investments are long-term, it is crucial to consider surrounding communities as neighbours rather than merely locations where its facilities are located.
As part of its community engagement in Selangor, Google has established the Future Skills for All programme with Arus Academy, aimed at teaching schoolchildren coding and equipping them with basic skills for the digital economy.
He said they are also conducting data centre operations training, skilling workshops, and server hackathons for job seekers and students, allowing participants to gain practical exposure to the skills needed to enter the data centre industry.
Similarly, Google is also working to ensure disadvantaged communities can participate in the economic opportunities arising from its investments, such as the partnership with Souls Foundation involving an Orang Asli village to install solar panels and provide training in their maintenance and operation.
“We want to engage and make sure that the most underprivileged and excluded communities in surrounding areas are not left out of this growth,” Siah said.
Meanwhile, the Elmina data centre will contribute significantly to the local economy, with thousands of jobs expected to be created over the next three to five years, including hundreds of permanent, high-value positions once it becomes operational.
He noted that Google is also working with local contractors, consultants, and suppliers to help them build their expertise in hyperscale data centre development.
