The Raritan Blog

How Colocation Centers Can Meet and Even Exceed the UK’s Climate Change Agreement

Michael Bord
September 26, 2014

Cloud Colocation Data Center Servers

As of this past summer, becoming an energy-efficient colocation provider now carries added financial incentives in the UK.  Thanks to the newly enacted Climate Change Agreement (CCA), colocation providers that manage to improve their power usage effectiveness (PUE) are eligible for green tax breaks. 

So far the CCA has proven controversial within the data center industry for its use of PUE as the primary metric for defining energy efficiency.  And, for favoring colocation providers over in-house data centers – particularly those who have done little to improve efficiency and have the greatest to gain by implementing even the smallest of changes. But whether or not you agree with the law’s current methodology, the CCA has been hailed as the first positive step toward creating a more ecofriendly IT industry and is therefore liable to stick around.