By Danial Dzulkifly
SHAH ALAM, Nov 20 — Selangor will carefully evaluate applications to establish data centres in the state by ensuring such projects benefit the local economy.
State executive councillor for investment, trade, and mobility Ng Sze Han said this may include requiring the projects to utilise local vendors and content.
Speaking at the State Legislative Assembly session today, he said Malaysia is currently experiencing a surge in requests to develop data centres due to its adequate power and water supply.
However, the state government is still awaiting comprehensive guidelines from the Investment, Trade, and Industry Ministry before proceeding with broader approvals.
"Data centres do not require a significant workforce and therefore do not provide substantial employment benefits.
“However, they are integral to the semiconductor ecosystem, and the appropriate number of data centres is needed to support the industry,” Ng said during the question-and-answer session.
He was responding to Hulu Kelang state assemblyman Datuk Seri Mohamed Azmin Ali’s supplementary question on whether the Selangor government is attempting to establish more data centres in the state, despite their low employment benefits.
Earlier, when responding to a question on the state’s semiconductor efforts, Ng reiterated that Selangor is looking to climb the value chain by prioritising integrated circuit (IC) design, rather than focusing on the traditional downstream manufacturing, such as assembly and testing.
He cited the IC Design Park in Puchong and plans for a second park in Cyberjaya as part of the state’s efforts to foster growth in the higher-value segment of the semiconductor industry.
