Rising data centers pose energy demand challenges for North Carolina, necessitating decision-making on energy management strategies
In a move to address the growing demand for electricity, the Southern Environmental Law Center has asked North Carolina's Utilities Commission to host a technical conference on large loads. The conference aims to discuss the potential impact of data centers, a significant contributor to the state's rising electricity needs.
The identities of the entities hoping to draw power from the electric grid in North Carolina remain confidential. However, one company, Crown Bioscience, has announced plans to expand with a new model development center in Kannapolis, North Carolina, further fueling the demand for electricity.
John Burns, general counsel for the Carolinas Clean Energy Business Association, expressed optimism about meeting this demand with the right policies in place. He believes that clean energy, efficiency, and related strategies can meet the moment.
Duke Energy, a major player in the state's energy sector, has projected that large customers like data centers will need an additional 6 gigawatts of capacity, enough to serve millions of households. This projection aligns with researcher predictions that data centers could account for 44% of U.S. load growth by 2028.
In June, Amazon Web Services announced a $10 billion, 800-acre computing campus in Richmond County, east of Charlotte. This announcement added to the anticipation of increased electricity demand.
However, not all communities are welcoming the influx of data centers. The town council of Tarboro, an hour east of Raleigh, has voted to reject a $6.4 billion data center facility. Opposition is also mounting in Apex, southwest of the city, to a proposed "digital campus" that would displace 190 acres of farmland.
Skeptics question whether all of the new data centers behind predictions of unprecedented demand growth will pan out. They argue that the forecasts for data center demand have "thrown everything out of whack."
On the other hand, load flexibility, a form of demand response in data centers, is being promoted as a potential solution. In their comments, Burns and others particularly promoted this approach.
Google has already integrated load flexibility into its operations, with demand-response agreements with the utilities Indiana Michigan Power and the Tennessee Valley Authority. Tyler Norris, former special adviser at the U.S. Department of Energy and a doctoral fellow at Duke University, called this the "first documented case where AI data center flexibility is explicitly integrated into U.S. utility planning."
Norris, the lead author of a February paper showing that Duke's two utilities in the Carolinas could accommodate 4.1 gigawatts of load if data centers shave just 0.5% off their peak usage annually, believes that such arrangements could avert the construction of several gigawatts of new gas plant capacity and expensive and time-consuming transmission upgrades.
In a bid to embrace the potential of artificial intelligence, Gov. Josh Stein, a Democrat and former attorney general, has issued an executive order creating an "AI Accelerator" and a council in North Carolina.
The development of a "data center corridor" is underway west of Charlotte, with Apple, Microsoft, and Google considering or planning new data centers in the area. The North Carolina Utilities Commission has approved Duke Energy's plan to build a massive new fleet of gas plants, alongside some clean energy investments.
As North Carolina navigates this unusual growth in electricity demand, the debate about data center demand, costs, and power sources continues. The upcoming technical conference promises to shed light on this complex issue and provide potential solutions for the state's energy future.
Read also:
- Transforming Digital Inventories in the Food Industry: A Comprehensive Guide for Food Businesses
- Rapid Construction of Rajasthan's 435 Megawatt Solar Power Plant in Eight Months Reduces Carbon Dioxide Emissions by Over 700,000 Tons
- At Atkins Ranch, the strategic use of regenerative farming methods is boosting sheep farmers' finances
- Plastic apparel shipments from the EU to Kenya reach 37 million units, revels fresh data report
