D A T A C E N T R E P R E D I C T I O N S

Goldrush era for energy

With the land availability somewhat addressed in the short term , we are now entering the gold rush era for energy with those able to attain it ahead in the race for acceleration . As we embark on this new chapter in data centre provision , what are the considerations for developers , operators and stakeholders when it comes to energy and what may be the future for the energy dilemma ?

Governance

The decarbonisation and decentralisation of energy networks across the UK and Europe has already begun . The UK energy regulator over the years has been at the forefront of driving deregulation to ensure a sustainable and competitive

marketplace – which the industry has embraced – making the UK one of the most competitive and agile energy markets in the modern world .

An unprecedented period of growth in the technical and digital markets combined with a shift away from fossil fuel-derived energy has seen an exponential demand for electricity resources . There is currently in excess of 700GW of electricity applications in the UK ’ s National Grid pipeline against a national average of ~ 62MW peak demand , and with the current planning and access to grid infrastructure , this is significantly slow in reaching the system .

The new Labour government ’ s removal of the ‘ de facto ban ’ on onshore wind that places it on the same footing as other energy developments in the National Planning Policy Framework ( NPPF ) will slightly ease some pressure . But we still find ourselves in an undersupply / over-demand position which has reduced developers ’ options for connecting to licenced national electrical networks , creating secondary challenges in advancing development across real estate sectors .

To avoid protracted lead times in the securing of capacity on projects , developers across UK and European markets will need to adapt and evolve their approach to development and power provision . This approach will likely see a greater reliance on decentralised energy strategies and include investment into self-sustaining power generation and energy storage .

National Grid levels

Traditionally , data centres have drawn power from lower levels of the National

Grid , competing against other energyhigh demands including residential and commercial usage . As demand grows , exploring options to tap into higher grid levels will become imperative .

Data centres and technical hubs have come into increased scrutiny in recent years over the exponential strain that they are putting on the national electricity networks . This has included claims that digital and technical development has started to impact commercial and domestic development .

Distribution Network Operators ( DNOs ) and Distribution System Operators ( DSOs ) typically supply the electricity required for commercial and residential development . Usually at voltages from ~ 100kV down to low voltage ( LV ) levels , the early development of data centres and technical hubs typically required connections into secondary substations and domestic medium voltage networks .

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