The need for flexibility on the grid has exposed the issues in current rate structures.

It’s common knowledge: data centers use a lot of energy. This huge increase in demand has created challenges for utilities who need to maintain reliability while improving sustainability. In Dublin for example, data centers consume between 20% and 25% of all of Ireland's electricity. Utilities used to receive one to two large customer requests (for 20 MW or above) per year. Now, they receive one to two such requests per week. So, what can be done?

To examine this, Ed Crooks is joined by regular guest Dr Melissa Lott, a professor at the climate school at Columbia University in New York, and Brian Janous, co-founder and CEO of Cloverleaf Infrastructure. Cloverleaf is focused on addressing the shortage of ‘powered land’ in the US. They develop sites that can support large energy-dense users such as AI data centers and chip manufacturing plants. With 12 years previously leading energy strategy for Microsoft, Brian is well placed to answer the big questions on energy demand.

With Melissa and Ed, he explains how the industry can balance the need to double the size of the grid with the need to achieve decarbonisation targets. What role does flexibility play in a highly electrified system, and how can it be leveraged to enhance grid reliability and resilience? Can the ambitious sustainability goals of tech companies like Microsoft and Google be achieved in the face of rapidly growing power demands, and what compromises might need to be made? Plus, nuclear power as a source of clean energy which could plug the demand gap? The gang debate its efficacy long-term, as a solution to the energy needs of big tech.

Meeting the energy demand for AI is a complex topic. The Energy Gang will be exploring it further in a special episode recorded live at New York Climate Week. If you can’t make it to New York for what is one of the energy industry’s biggest events of the year, subscribe to the show so you don’t miss the discussion. Ed and regular guest Amy Myers-Jaffe will be speaking with Caroline Golin, Chief Sustainability Officer at Google, and Kate Gordon, the CEO of CA FWD, a statewide organisation dedicated to a more sustainable, resilient and inclusive economy across every region of the state of California.

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Demand for AI is creating new energy models. Are they benefiting customers or just big industry?

Energy Gang