Grid demand will require active participation from data centers

Power grids across the world are undergoing a difficult, lengthy and expensive transition. Not only do power companies need to meet rapidly growing demand while reducing carbon emissions, but they are also required to maintain a stable supply despite a huge shift to less reliable, more intermittent power sources. Many of these power sources are distributed, requiring a significant grid redesign and upgrade to ensure power flows efficiently from where it is generated to where it is needed.

Escalating power demands from the data center sector are creating a major challenge for power providers, especially in locations such as Northern Virginia (US), Ireland, London (UK) and Frankfurt (Germany). To meet demand, providers are investing heavily in new capacity and increasing flexibility — but this is not enough. They want data centers to do the same. For many data centers, especially those planning new projects, it will no longer be sufficient to be a passive customer.