Last week, Delska CEO Andris Gailitis, in a meeting with Minister of Economics Viktors Valainis, raised key issues for developing the Latvian data centers industry, including sustainability, energy efficiency and cooperation with heat supply companies. They highlighted the need to adjust regulations and invest in infrastructure to reduce the environmental impact of the heat generated by data centers, which can serve as an energy source, thus promoting sustainable industry development.
The rapid development of the data centers industry globally and in Latvia, which is currently driven by artificial intelligence (AI) and exponential data growth, indicates increased demand from businesses, as IT infrastructure has become an essential component of any modern company. "Data centers’ capacities and availability are limited in Western Europe, encouraging companies to look for new regions to store their data. However, for Latvian and Baltic data centers to be able to provide the required volumes to foreign companies, several preconditions are required," emphasizes A. Gailitis.
One of the essential aspects discussed is implementing efficient solutions for reusing the energy generated by data centers, thus reducing energy costs. Heat reuse would reduce energy waste and environmental impact and benefit society. Delska is already discussing closer cooperation with heating companies to efficiently use the heat generated by data centers not only to heat their office but also as part of the heating infrastructure in Riga. However, to develop a heat supply network in the urban environment, it is necessary to attract additional funding not only from the company but also to assess the possibilities of European funds.
"The development of the data centers and ICT sector is crucial for Latvia, mainly due to its high potential in export markets. Delska development plans align with Latvia's objectives under the National Industrial Policy 2027 and its environmental preservation and restoration plans, so we are eager to support the company's projects," said the Minister of Economy Viktors Valainis.
This discussion also highlighted the importance of reducing electricity costs to attract international investors, local and foreign companies, and other major industry players to use local data centers and implement new development projects. However, changes in electricity pricing policies are also needed to ensure the sector's competitiveness and the flow of investment into Latvia.
Latvia's strategically favorable geographic position makes it an attractive location for data center development. Latvia has significant potential in the Northern European data center market due to the growing demand for IT infrastructure and its temperate climate, which allows reducing cooling costs. However, closer practical cooperation between the government and the industry is needed to address those challenges, promote a greener tomorrow, and ensure sustainable development of the sector and on the national level.
About Delska
Delska is one of the largest data center operators in the Baltics, with 25 years of experience developing tailored IT and network infrastructure solutions. Sustainability is one of the Delska group's priorities. All Delska data centers in Latvia and Lithuania use 100% green energy from wind farms, and backup generators use Neste MY diesel from renewables.
The most sustainable 10 MW data center in the Baltics, with a total investment of more than 30 million Euros, is under construction in Riga and is scheduled to be commissioned this year. It will be LEED green building certified, making it one of only 20 buildings in Latvia with such a certification. The data center will also use one of the most energy-efficient and innovative cooling systems, Vindur CoolW@ll, which is known to be environmentally friendly and reduce operating costs.
Delska development plans include expanding its data center infrastructure and capacity on the purchased land, building a new data center in Lithuania, and adding another market player, thus creating a strong regional data centers and network ecosystem.
