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DayOne partners with TNB to develop up to 1.5GW of onsite generation for planned data center in Selangor, Malaysia

DayOne partners with TNB to develop up to 1.5GW of onsite generation for a planned data center in Selangor, Malaysia. The development is expected to include both generation and battery storage.

By ASEAN Rising Newsroom1 September 2026

Utility Partnerships Redefine Data Center Power Execution

Securing up to 1.5 gigawatts of capacity directly with Tenaga Nasional Berhad shifts data center development from traditional grid allocation to dedicated onsite supply. For developers in Selangor, executing this requires tight synchronization between utility generation assets and facility construction. Integrating battery storage signals an operational strategy to manage power availability directly at the site.

Execution now hinges on how fast TNB and DayOne can deploy generation and storage infrastructure alongside the core facility build. The primary risk for projects of this scale lies in equipment lead times and synchronizing onsite battery storage with regional power connections. Operators should watch whether this direct utility partnership model becomes the baseline template for high-density builds.

For investment committees, underwriting gigawatt-scale data centers now requires evaluating co-located utility generation and storage capabilities rather than assuming standard grid connection timelines.

#Data Centres#Digital Economy