UAE Ministry, Khazna, Agility launch Phaidra AI pilot to cut data centre energy use

UAE rolls out Phaidra AI pilot with to boost data-centre efficiency

Kavya Pillai
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Kavya Pillai
Kavya Pillai is a subeditor and journalist at StrongYes Media, covering UAE HR news, corporate leadership movements, and the region’s leadership pulse. Trusted to run a...
3 Min Read

The UAE Ministry of Energy and Infrastructure, Khazna Data Centers, and Agility have launched a pilot to deploy Phaidra’s AI technology. The goal is to improve energy efficiency in data centres and district cooling systems across the UAE.

The partners announced the move during the World Governments Summit in Dubai. Earlier, the Ministry and Agility had signed a Memorandum of Understanding at Abu Dhabi Sustainability Week. This pilot builds on that agreement.

Focus on efficient and sustainable AI infrastructure

The MoU creates a framework to improve the performance of energy-intensive digital infrastructure. It also supports the UAE’s plan to become a global hub for AI and digital investment.

At the same time, the project aligns with national sustainability targets and long-term economic growth.

Phaidra AI to optimise power, cooling, and workloads

Under the pilot, the partners will test Phaidra’s AI control systems in selected data-centre sites. These systems manage power, cooling, and computing workloads in real time. As a result, they aim to deliver higher efficiency and lower energy use.

This is important because AI workloads are growing fast and require more power than traditional computing.

Khazna and NVIDIA collaboration strengthens ecosystem

The initiative also builds on Khazna’s work with NVIDIA to expand AI infrastructure in the Middle East and Africa. Khazna is developing next-generation AI facilities using NVIDIA’s DSX Blueprint architecture.

During the pilot, Khazna will help deploy and evaluate Phaidra’s reinforcement-learning agents. The partners expect three key outcomes:

  • Lower cooling-related energy consumption
  • Higher IT capacity in existing facilities
  • Stronger reliability in hot climate conditions

Supports UAE Net Zero 2050 and energy-efficiency strategy

Overall, the collaboration allows the partners to study how AI-driven optimisation can scale across the UAE. This directly supports the UAE Net Zero 2050 Strategy and national energy-efficiency plans.

Therefore, the project links digital growth with environmental responsibility.

Leaders highlight efficiency and long-term impact

Sharif Al Olama said improving energy efficiency in AI infrastructure is vital for competitiveness and sustainability. Meanwhile, Agility Chairman Tarek Sultan noted that AI growth makes infrastructure efficiency a critical constraint.

Khazna CEO Hassan Alnaqbi added that future data centres must scale in a sustainable way. Finally, Phaidra CEO Jim Gao said next-generation AI facilities require new operational technologies and close global collaboration.

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