Gerry McGovern’s Post

Data centers are getting cozy with power plants, but the question is if it’s a good match. At a recent conference, FERC dug into the costs and reliability issues that come with setting up data centers right next to power sources. Big tech companies like Amazon and Google love the idea of having easy access to huge amounts of power, but it might mean higher bills for regular customers and could put more pressure on the grid. With AI taking off, the government is starting to see data centers as key players for national security and the economy. Still, there are big questions about who will cover the costs for needed transmission upgrades and what happens if the nearby power plant unexpectedly shuts down. It’s a tricky balance between keeping up with rising electricity demand and making sure the grid stays reliable. As data becomes more essential, the challenges of co-located data centers show how tech, energy infrastructure, and public utilities are all intertwined. The debate isn’t over, but one thing’s clear: finding solutions that work for both the tech industry and everyday people will be crucial for moving forward. #DataCenters #CoLocating #EnergyInfrastructure

Interesting article follows. "...Are Data Centers to Blame..." or is increasing electric power demand at Data Centers a function of demand for digital information along with multiple other factors? Clearly it is far, far more than simply Data Centers... Data Centers, especially with AI impacts, are huge electric power consumers however it is critical to look past "...Blame..." and understand root causes to develop solutions. Electric power shortages are not only a function of increasing Data Center and Technology demand but also multiple other factors. Start with short-sighted government policies and mandates driving fossil fuel generation shutdowns while pushing increased intermittent renewables operating at a fraction of stated capacity. Add government policies for electrification of everything, interconnect permit que overloads, a historical 5% rate of completion for renewable projects, supply chain constraints, increased demand for qualified electrical workers while the pool of available talent declines. Make no mistake about it, we have a major problem, a worsening electric power shortage however it is far more than "...Data Centers are to Blame...." Practical solutions for this major problem include low carbon, local distributed generation, Firm-Hybrid microgrids, which can be quickly installed at sources of demand. Our Northeast - Western Energy Systems USA, LLC, an INNIO Jenbacher Business is in this critical race to solve for electric power shortages with key engineering and development partners. INNIO Group Aaron Tasin, EIT Eduardo Alcorta David Muller Amir Ali, MBA Chuck Hooper Fred Farrand Anthony Coleman Alexander Jannen Kimberly Stevens David Horowitz Joshua Griswold, PMP Adam Masten Noe Zepeda Thomas Seeber Joe Neal Joel Forty Jeff Starcher Jamie Smith Robin Starcher Peter Smith John Diamond Bill Leedecke Robert Autengruber Leon Jansen van Vuuren Dr. Olaf Berlien Martin Widner Martin Wendel Alex Ladner Mustafa Cakil Karl Höftberger Michael Brady Michelle Bloodworth Mark Cox #datacenter #power #innovation #technology #sustainability #energy

Coal fired power plants have always been a backbone of power generation, but with the growing demand for increased power from new technology and data centers, these plants will have an increased focus even in the age of renewables. #reliableenergy

As Northern Virginia experiences rising summer temperatures, data centers in the region are increasingly focusing on innovative cooling technologies. These advancements aim to maintain optimal operating conditions for servers while minimizing energy consumption. The implementation of effective cooling solutions is vital for sustaining the performance and efficiency of data centers during heat waves. This trend highlights the growing importance of sustainability in the tech industry. https://lnkd.in/gp5QZPGk #DataCenters #CoolingTechnology #NorthernVirginia #Sustainability #EnergyEfficiency #TechIndustry #ClimateChange #ServerManagement #Innovation #HeatManagement #UnderstandingEnterpriseTech #EnterpriseTechnologyNow #EnterpriseTechnologyToday

Virginia is thriving as the premier destination for data centers in the United States, solidifying its reputation as a global leader in the industry. This success is significantly bolstered by the forward-thinking 2022 Energy Plan, which emphasizes sustainability, energy efficiency, and infrastructure resilience. The plan supports the rapid growth of data centers by ensuring access to affordable, reliable, and renewable energy sources, making the state an attractive hub for technology investments. Northern Virginia, particularly Loudoun County's "Data Center Alley," plays a pivotal role, managing up to 70% of global internet traffic daily. But not just in the north as we see below in Appomattox County. The 2022 Energy Plan has got a very grown up attitude to nuclear which is that its the ideal transition baseload source. #virginia #nuclear #energy #renewables https://lnkd.in/dUzDU9Wf

Our Data Center Research Service estimates that, as of 2024, colocation operators in the top ten data center markets by MW consume about 13 GW of power. That's enough power to generate electricity for roughly 10 million homes—or, in this case, only about 1,000 commercial data centers! Keep reading: https://hubs.ly/Q02Y6h4G0

𝙋𝙤𝙬𝙚𝙧-𝙃𝙪𝙣𝙜𝙧𝙮 𝘿𝙖𝙩𝙖 𝘾𝙚𝙣𝙩𝙚𝙧𝙨 𝙞𝙣 𝙏𝙚𝙭𝙖𝙨: 𝘼𝙄 𝘿𝙧𝙞𝙫𝙞𝙣𝙜 𝙈𝙖𝙨𝙨𝙞𝙫𝙚 𝙀𝙣𝙚𝙧𝙜𝙮 𝘿𝙚𝙢𝙖𝙣𝙙 Data centers, crucial for powering the modern internet and AI development, are rapidly expanding in Texas, raising significant concerns over the state's energy capacity. Texas, known for its vast land and cheap energy sources, has become a hub for tech giants like Microsoft and Alphabet Inc., with the Dallas-Fort Worth area now the second-largest US market for leased data center space. However, the surge in data centers is straining the Texas power grid. The Electric Reliability Council of Texas (ERCOT) projects that by 2030, peak demand could reach 152 gigawatts, nearly double the current capacity. Data centers, crypto miners, and population growth contribute significantly to this demand. The grid's vulnerability was highlighted during the 2021 cold snap and a recent hurricane that left millions without power. State officials have expressed concerns about the energy demands of data centers and crypto miners, calling for a review of grid policies. Special approvals are now required for data centers needing over 75 megawatts of power. The grid faces particular strain from 8 p.m. to 9 p.m., when solar power drops and wind power may be insufficient. This leads to a 16% chance of power emergencies in extreme August conditions. Extreme weather has also made winter demand challenging. While Texas is exploring solutions, including new natural gas plants and alternative energy sources like small modular nuclear reactors, these developments will take time. The rapid construction of data centers, often completed in just a year, contrasts sharply with the multi-year timeline for new power infrastructure. #DataCenters #Texas #EnergyDemand #PowerGrid #AI #Technology #RenewableEnergy #Electricity #Infrastructure #TechIndustry #BusinessGrowth #EnergyCrisis https://lnkd.in/gW5WP5t5

Clean baseload power is the key to data centers meeting their clean energy goals. But just how big is the opportunity and what are the challenges? To find out, look at @S&P Global Market Intelligence latest Datacenters and Energy Report. Key takeaways include: 📈 They forecast that national growth in clean energy generation will increase in proportion to the increase in power demand, but note that generation and use aren’t aligned at the state level. 🚀 In light of the clean energy contracts signed by hyperscalers like Microsoft and Google, their forecasted energy demand may be on the low side. 💲 Not surprisingly, states with deregulated power markets have proven attractive to data centers, encouraging many Tier 2 states to pursue policy and tax incentives to bring data centers to their region. Click here to download the executive summary: https://lnkd.in/eDcjcyhU

Utility companies say they’re struggling to meet the enormous demand for electric power from data center owners. The rise of artificial intelligence has exacerbated the issue as computer servers that process AI applications require even more power than standard applications. Meanwhile, nuclear power has experienced a rebound as Microsoft, Google, Amazon and other tech giants look for new sources of electricity for their data centers.

Skeptical the power demands of today's highly publicized compute and memory architectures are untenable over the long term? Consider the following quote from Matthew Connatser's news story for The Register:   "The estimates for the amount of power AI-infused datacenters might use are incredible. "By taking a middle figure of 300 TWh for the annual global datacenter power consumption, Uptime Intelligence puts generative AI annualized energy at around 2.3 percent of the total grid power consumption by datacenters in the first quarter of 2024," the Uptime Institute predicted in conversation with The Register.   "However, this could reach 7.3 percent by the first quarter of 2025," Uptime told us."   I think trading participants in the IPP cohort of publicly traded businesses makes sense. Hyperscalers have no choice but to scale up electrical infrastructure to satisfy current customer demand while working on novel, but sensible (meaning respectful of environmental regulations) approaches to producing their own power.   #stocktrading #tradingopportunities #ipp   https://lnkd.in/eyw5zzEA