Energy Solutions for Data Centers Aren’t Always Obvious. Take These Ideas.
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Energy Solutions for Data Centers Aren’t Always Obvious. Take These Ideas.

What We Learned After We Gathered in a Room with Data Center and Distributed Energy Experts

By Lisa Cohn, Energy Changemakers

Data center developers face some tough questions as they struggle to secure electric supply in an increasingly tight market. Where will they find power? Should they rely solely on the grid? Or should they secure on-site power for all or part of their supply? What are the cleanest and most reliable choices?

And where does distributed energy fit in?  Over 100 data center and distributed energy experts gathered on July 10 in Bend, Oregon, to tease out some of the answers.  

Here’s some of what we learned from panel discussions and interviews with participants during and after “The Great Transformation: A Data Center and Energy Innovation Summit,” hosted by Cross Consulting, the Technology Association of Oregon and Mayfield Renewables.

Microgrids and the value of phased development

Choosing which generation resources to use — solar, storage, small modular reactors, or another supply technology — is only one step. Data center operators also need to think about timing.

Adib Nasle, co-founder and CEO of Xendee, said that data center industry members should consider adding distributed energy resources (DERs) and other forms of generation in a phased, multi-year approach.  Microgrids are often the best option for a phased approach because they are flexible and can accommodate new technologies as they are developed. Microgrids are also more cost-effective than grid power, which is often not immediately available for large loads. Microgrids can provide power more quickly.

A yet-to-be-released Xendee study examines different power options and finds that the most expensive choice would be to rely solely on the utility. It’s also the most carbon-intensive and fails to improve resiliency and redundancy. In one example, the utility-only case was the least economical...Continue reading on Energy Changemakers.

Mark Rogers, PG, CPG

Sr. Project Manager @ Terravanta | Leading Clean Energy Projects

2mo

Nice post Elisa. Besides the obvious baseload power demands of supporting data centers / AI infrastructure, there's also projected to be a shortage of AI chips which many people aren't aware of.

Paul Kageler

NXTGEN Renewable Energy Professional Texas Region

2mo

Should be an interesting discussion between some highly opinionated individuals! My prediction is location will be a case by case major driver including community relation developments. Tesla Giga Austin is an example of an energy & water intense operation that carefully considered both community and environmental concerns. Most of the newer energy intense heavy industry sites have very large land buffers and therefore more options for onsite power generation including natural gas combined cycle or heat and power. Of course the surrounding buffer land can be used for mounting the more cost effective ground mounted single axis solar trackers. Assuming next generation nuclear power proves out after at least 2030, nuclear power will be viable options for data centers in more remote locations with adequate buffer land.

Alexandra McHenry

CEO - Eclipse Solar Projects

2mo

This is great, Elisa

Brad Templeton

Speaker/Consultant on Robocars and Exponential Technology btm@4brad.com

2mo

This works if the energy is the vast bulk of the cost of your application, because you leave your hardware idle, all of it at night, half of it in winter, and on cloudy days. If that hardware is expensive -- and for AI it's very expensive -- that doesn't work. You can run power from the shore, but then why be on the lake? If you can find a way to store the power, great, you've solved the #1 problem in renewable power.

Thomas Marihart

Manager – Sales and Development

2mo

Data centers need on-site power that they own themselves instead of subjecting utilities and rate payers to their wild demand swings that will further stabilize and constrain the grid. Simple as that.

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