On 11 May, China’s Ministry of Industry and Information Technology classed computing facilities as a key industry for which energy use and emissions should be supervised. With this, the energy consumption of AI has been elevated to a national strategic concern, according to analysis by Beijing News.
Computing facilities have been listed alongside industries such as steel and cement in the ministry’s 2026 Industrial Energy Conservation Inspection Work plan, the outlet noted.
The plan aims to strengthen whole-process supervision to lower energy use and emissions in these high-consuming industries. It promotes measures such as digital energy and carbon management for industrial enterprises, and online reporting of energy conservation inspection results. Computing infrastructure will be subject to mandatory energy consumption limits, as well as benchmark and baseline energy efficiency requirements.
The policy shift comes as energy demand from the digital sector surges. In the first quarter of 2026, while China’s total electricity consumption increased by 5.2% year-on-year, consumption by internet data services grew 44%, making it one of the fastest-growing areas of energy use, reported People’s Daily. Globally, the International Energy Agency (IEA) predicts that electricity demand from data centres will double from 2025 to 2030, with AI-focused data centres tripling their electricity consumption in the same period.
IEA analysis notes AI can potentially lower electricity prices by increasing the efficient use of capital-intensive power plants and grids. However, AI use also intensifies energy consumption and carbon emissions, and research shows data centres consume large amounts of water while causing impacts including climate and air pollution.
At a State Council executive meeting on 9 May, “computing networks” were elevated to a level of infrastructure comparable to public utilities like water and electricity, reported Jiemian News. This suggests computing capacity is increasingly being treated as a long-term, large-scale national infrastructure project in China.
Over a week later, China’s National Development and Reform Commission and the National Energy Administration issued a notice promoting the use of renewable energy to meet increasing energy demand. Computing infrastructure has been given priority for support in developing direct connections to renewable projects, the notice stated.
Read Dialogue Earth’s previous analysis on how far AI can improve China’s power grid.