Monitoring Analytics, a U.S. electricity researcher, has called for large data centres connecting to the country’s grid to provide their own power generation, warning that the existing system is unable to handle the strain.
“The current supply of capacity in PJM (one of the largest regional transmission organisation in the US) is not adequate to meet the demand from large data centre loads and will not be adequate in the foreseeable future,” the report stated, noting that rising electricity use driven by AI, cloud services and other digital infrastructure is straining ageing assets and increasing consumer costs.
PJM’s network spans 13 states from Virginia to Illinois. According to Bloomberg, its network hosts the highest concentration of data centres in the nation.
Monitoring Analytics noted “the market solution is to require new large data centre loads to bring their own new generation” based on their location and operating schedule, arguing that this approach avoids the need for significant wealth transfers.
“There is still time to address the issue but failure to do so will result in very high costs for other PJM customers”.
The recommendation, flagged in the watchdog’s latest quarterly report, marks a step-up from guidance issued last month, when it noted that PJM Interconnection grid had no spare supply for new facilities, suggesting that operators should consider building their own plants.
In a statement earlier this month, the grid operator acknowledged the mounting pressure of “unprecedented growth in electricity demand that is challenging both the reliability and affordability of the electrical system”, calling for enhanced load flexibility.
Source: Mobile World Live
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