DayOne Secures S$530M Green Loan for Singapore’s First Hydrogen Data Centre

DayOne, a Singapore-headquartered digital infrastructure platform, has closed a S$530 million four-year green loan from DBS, OCBC, and UOB to finance its first data centre in Singapore. The 20-megawatt facility, located in western Singapore and breaking ground in July 2025, will be the city-state’s first data centre to feature on-site solid oxide fuel cell power generation as a proof-of-concept for hydrogen-based energy. Operations are scheduled to begin in Q1 2027.

Why hydrogen power matters for data centres

Data centre power consumption across Asia is climbing sharply as generative AI workloads and high-performance computing demand substantially more electricity per rack than traditional cloud infrastructure. Singapore has limited renewable energy resources due to land scarcity and equatorial cloud cover, making it heavily reliant on natural gas imports. The government has identified hydrogen as a potential long-term energy vector, but commercial deployment remains in early stages due to supply chain gaps and cost barriers. The DayOne facility will test whether solid oxide fuel cells can convert hydrogen into electricity at scale, offering higher efficiency than combustion-based generators and zero direct carbon emissions when fueled by green hydrogen.

Green design and sustainability certifications

The DayOne SG1 facility incorporates vertical building-integrated photovoltaics and hybrid air and liquid cooling technologies to enhance energy efficiency. In December 2025, the facility achieved BCA Green Mark Platinum (Provisional) certification, the highest Green Mark rating awarded by Singapore’s Building and Construction Authority under its Green Mark for Data Centres Scheme. The loan is structured in accordance with internationally recognised Green Loan Principles, with DBS, OCBC and UOB acting as joint mandated lead arrangers, bookrunners and green loan coordinators. DBS also serves as facility and security agent.

Financing reflects AI-driven infrastructure boom

The S$530 million deal ranks among the largest debt rounds in its class, above the 95th percentile of AI-linked debt deals in Singapore across all time based on comparable transactions. Han Kwee Juan, group head of institutional banking at DBS, noted that demand for digital infrastructure is accelerating as AI and cloud computing reshape economies across Asia. Elaine Lam, head of global corporate banking at OCBC, called Singapore’s first data centre incorporating hydrogen power an important milestone in sustainable digital infrastructure. DayOne, established in 2022, has expanded across Asia and Europe with operations in Singapore, Malaysia, Indonesia, Thailand, Japan, Hong Kong, Finland, and Spain.

Timeline and operational readiness

The facility broke ground in July 2025 and is expected to become operational by Q1 2027. The 20-megawatt hyperscale facility is located within the Jurong East Data Centre Cluster in western Singapore. Once operational, it will serve as a proof-of-concept for hydrogen-based energy solutions in mission-critical digital infrastructure, testing the viability of solid oxide fuel cell technology at commercial scale before potential wider deployment across the region.

Final Thoughts

The S$530 million financing underscores how Asia’s banks are backing energy-efficient digital infrastructure to meet AI-driven demand. For Singapore investors tracking the data centre sector, this deal signals both the scale of capital flowing to green infrastructure and the government’s commitment to positioning the island as a regional hub for sustainable digital services.

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The content shared by Meyka AI PTY LTD is solely for research and informational purposes.  Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.