- Due to the growth of AI and internet demand, Schneider Electric has called for urgent upgrades in power efficiency, cooling, and energy supply.
- Schneider highlights the need for high-density racks, liquid cooling, and renewable energy to sustain digital transformation.
Schneider Electric has called for urgent upgrades to Nigeria’s data centre infrastructure. Rapid growth in artificial intelligence (AI) and internet usage is increasing pressure on power and cooling systems.
Speaking to The PUNCH, Ajibola Akindele, Country President of Schneider Electric, warned that Nigeria’s digital transformation hinges on deploying smarter, energy-efficient infrastructure. He noted that the rise of AI is forcing enterprises, colocation providers, and hyperscale operators to rethink how they design, power, and cool their data centres.
“As data centres across Nigeria and Sub-Saharan Africa adapt to an evolving tech landscape, they must explore viable alternatives,” Akindele said. “This includes optimising infrastructure for power efficiency, advanced cooling, and smarter management systems.”
Nigeria’s data centre industry is expanding rapidly, driven by surging demand for cloud services, digital platforms, and AI-powered applications. Valued at $278 million in 2024, the market should grow to $671 million by 2030, with power capacity expected to increase sixfold to nearly 280 MW.
However, Schneider Electric warned that AI workloads consume far more energy than traditional computing. Each AI query can use up to 10 times more electricity than a typical internet search. The company cited data showing that global AI computing capacity doubles roughly every 100 days, driving a 26–36% annual increase in energy consumption.
This soaring demand has put Nigeria’s infrastructure under immense strain, especially in Lagos, which holds 81% of the national market share. As the country’s primary connectivity hub with nine submarine cables, Lagos hosts most of Nigeria’s hyperscale data centres. Emerging locations like Sagamu are also gaining interest in disaster recovery and regional diversity.
Schneider Electric advocates for various technological upgrades to meet AI’s growing demands, including liquid and hybrid cooling systems, modular rack configurations, advanced airflow management, and flexible power distribution systems.
Akindele emphasised the need to collaborate with independent power producers and renewable energy providers to stabilise supply. “Traditional air-cooling systems are no longer adequate, especially in West Africa’s tropical climate,” he said.“We need compact, high-density rack designs and efficient thermal management to handle AI workloads.”
Schneider Electric also sees potential in AI-driven tools to enhance data centre operations through predictive maintenance and real-time energy optimisation.
Additionally, the company is promoting the concept of waste heat reuse, where heat from data centres is repurposed for industrial or commercial use—a strategy already gaining traction in developed countries. Akindele believes this approach could benefit Nigeria’s smart cities, university campuses, and industrial parks.
With $630 million in pledged investments as of early 2025 to address an estimated $600 million infrastructure gap, Nigeria accounted for nearly 10% of Africa’s total data centre investments in 2024. Major players include Africa Data Centres, MainOne, OADC, MTN Nigeria, Airtel, and Rack Centre.
While challenges such as grid reliability and high capital costs persist, Schneider Electric believes AI’s rapid adoption presents a rare opportunity for Nigeria to lead Africa’s next digital transformation, but only if infrastructure keeps pace.
“Nigeria’s data centres are at the heart of this revolution,” Akindele concluded. “The time to act is now.”