Data Centers in Trinidad And Tobago
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Trinidad and Tobago – A Strategic Caribbean Digital Hub
Trinidad and Tobago offers a compelling combination of extremely low power costs and favorable tax incentives for businesses targeting the southern Caribbean. This market is ideal for companies requiring a stable, cost-effective base for regional service delivery, disaster recovery, and edge computing, where uptime and operational expenses are primary concerns.
Trinidad and Tobago: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Good international connectivity via subsea cables, though terrestrial options are limited. |
| Direct Cloud On-Ramps | 0 — as of September 2025 | Nearest major cloud hubs are in Miami. Private network extensions are available. |
| Power Cost | $0.04/kWh — as of December 2024 | Extremely competitive pricing driven by abundant natural gas reserves. |
| Disaster Risk | Low (3/10) — as of September 2025 | Primary risks are tropical cyclones and earthquakes; overall hazard level is low. |
| Tax Incentives | Yes | Data center sales tax exemption certificates have been extended to June 30, 2037. |
| Sales Tax | 12.5% VAT — as of September 2025 | This is the standard Value Added Tax rate for the country. |
Network & Connectivity Ecosystem
Carrier Density & Carrier Neutrality: As of September 2025, Trinidad and Tobago is served by a focused group of international and regional carriers operating out of the country's 4 data centers. The market offers access to multiple providers, ensuring competitive connectivity options primarily through subsea cable landing stations.
Direct Cloud On-Ramps: There are no direct public cloud on-ramps within Trinidad and Tobago as of September 2025. Businesses connect to major cloud providers like AWS, Google Cloud, and Microsoft Azure through network hubs in Miami, Florida. Secure, private connectivity is achievable via dedicated point-to-point circuits or SD-WAN solutions.
Internet Exchange Points (IXPs): Public peering is limited. Most traffic exchange occurs privately between carriers or is routed through major international hubs. This structure emphasizes the importance of selecting a data center provider with strong upstream carrier relationships.
Bare Metal: Bare metal server options are available, providing dedicated compute resources for performance-sensitive applications. Providers like Hivelocity and Latitude.sh can serve the region from nearby hubs, offering an alternative to virtualized infrastructure.
Power Analysis
Average Cost Of Power: The average industrial electricity price is approximately $0.04/kWh as of December 2024. This exceptionally low rate, among the most competitive in the Americas, directly reduces the total cost of ownership for high-density compute and storage deployments. The grid is powered almost entirely by natural gas (~99%).
Power Grid Reliability: The nation's power infrastructure is well-established, particularly in the commercial corridors where data centers are located. The grid benefits from the country's position as a major energy producer, ensuring a stable and consistent power supply for critical facilities.
Market Access, Business & Tax Climate
Proximity To Key Business Districts: Data centers are situated to serve the primary economic zones, including Port of Spain. This proximity provides low-latency connectivity for the country's financial services, energy, and government sectors.
Regional Market Reach: Trinidad and Tobago serves as a strategic point of presence for reaching the southern Caribbean islands and nearby markets in northern South America. Its location makes it a logical hub for content delivery and application hosting aimed at this specific geographic area.
Tax Advantage For Data Centers: The government offers significant financial incentives to attract technology investment. A long-term sales tax exemption on data center equipment purchases dramatically lowers capital expenditures and makes the market financially attractive for new builds and expansions.
Natural Disaster Risk
Trinidad and Tobago has a Low overall disaster risk profile, with an INFORM score of 3 out of 10 as of September 2025. While the country is in a seismically active region and subject to Atlantic storms, its location outside the main hurricane belt mitigates the most severe weather threats.
Key natural hazards to consider include:
- Earthquake: 5.8
- Tropical Cyclone: 5.7
- Drought: 2.8
- Coastal Flood: 2.7