From Ducts to Data: How India’s HVAC Sector Is Powering the Country’s Digital Backbone
India’s HVAC industry is undergoing a dramatic transformation, moving beyond comfort cooling and industrial cooling to playing a central role in enabling the country’s digital infrastructure. Nowhere is this shift more evident than in the rise of data centres—facilities that demand not only round-the-clock uptime but also advanced, reliable, and energy-efficient cooling systems.
HVAC: The Silent Enabler of India’s Data Centre Boom
Cooling has always been essential to building operations, but in data centres, it is mission-critical. These facilities, which house servers running non-stop, rely heavily on precision cooling to maintain performance and prevent outages. Any failure in the cooling system, even for a few minutes, can lead to severe hardware damage or data loss.
As India’s digital economy expands—driven by increasing internet usage, digital transactions, and cloud adoption—data centre construction is surging, particularly in hubs like Mumbai, Pune, Hyderabad, Noida, Bengaluru, and Chennai. This growth is putting the spotlight squarely on HVAC systems, which must keep pace with evolving performance, efficiency, and sustainability standards.
Cooling is estimated to account for up to 40% of a data centre’s total energy consumption, making it a major target for optimization and innovation.
Global Benchmarks and Emerging Technologies
India is not only adopting global best practices but also driving innovation in data centre HVAC technologies. Indian engineers and developers are pioneering solutions tailored to the country’s unique climatic and infrastructural challenges, leading to several emerging trends:
1. Liquid Cooling
This technology is increasingly used in high-performance computing environments. It delivers coolant directly to the heat-generating components, offering greater efficiency and space-saving benefits compared to traditional air-based systems.
2. Immersion Cooling
Immersion cooling involves submerging server components directly into a thermally conductive dielectric liquid, allowing for efficient heat dissipation. This method is gaining traction in India, particularly in high-density computing environments, due to its potential for significant energy savings and reduced physical footprint.
3. Smart Controls and AI Integration
Modern data centres are incorporating intelligent control systems that use sensors, real-time data, and AI algorithms to dynamically adjust cooling output. This approach not only reduces energy usage but also improves equipment lifespan and operational reliability.
Domestic Progress and Persistent Challenges
India’s data centre cooling market is projected to grow from $2.1 billion in 2024 to over $7 billion by 2030, reflecting increasing demand for efficient HVAC systems. Progress is evident across multiple areas:
– Use of energy-efficient chillers, CRAC/CRAH units
– Deployment of modular, scalable HVAC setups
– Integration of Smart BMS and IoT-based monitoring
– Emphasis on green certifications like LEED and GRIHA
However, the industry continues to face significant challenges:
1. High Capital Costs
Advanced cooling systems often come with a substantial upfront investment, making them less accessible to smaller operators and local data centres.
2. Skilled Workforce Shortage
There is growing demand for technicians who are adept not only in mechanical systems but also in data analytics, automation, and IT integration—skills that are still in short supply across the sector.
3. Fragmented Local Manufacturing
Key components such as high-efficiency compressors, variable frequency drives (VFDs), and smart controllers are still largely imported. This affects costs, lead times, and customization capabilities.
4. Low Awareness of Lifecycle Efficiency
Despite rising energy costs, many data centre operators and facility managers remain unaware of the long-term benefits of energy-efficient HVAC systems. Increased industry education and demonstration projects are needed to bridge this gap.
Future Outlook: What’s Next for HVAC in Data Centres?
The sector is poised for rapid evolution, with several trends likely to shape the future:
Edge Data Centres: Smaller, decentralized facilities will require compact, modular HVAC systems tailored for urban deployments.
Heat Reuse Initiatives: Capturing and repurposing waste heat from servers for use in nearby buildings or industrial processes could unlock new efficiencies.
HVAC-as-a-Service Models (HVACaaS): Subscription-based models could allow data centre operators to access cutting-edge technology without the burden of large upfront investments.
Conclusion: Cooling as Strategy, Not Just Infrastructure
As India’s digital footprint expands, HVAC is no longer a background utility—it is a strategic enabler of uptime, sustainability, and operational efficiency. The country’s HVAC community must adapt accordingly, embracing new technologies, upskilling the workforce, and building cross-disciplinary collaboration with IT, energy, and facility management professionals.
The success of India’s data centre revolution will depend not just on servers and software, but on whether the infrastructure beneath them—including cooling—can deliver on performance, resilience, and sustainability.
At Aqua Chill, we’re proud to be part of this exciting transition. With decades of experience behind us and a keen eye to the future, we’re committed to learning, innovating, and growing alongside our clients and partners. If you have questions or would like to discuss a project, feel free to leave a comment—we’d be happy to connect. Or, mail us at info@aquachill.co.in