Data Center Project Development, Utilities & Load Growth

Support for data center development and the proliferation of AI has emerged as a significant policy mandate spanning the entire political spectrum. Multiple federal, state, and local initiatives aim to streamline processes for data center expansion and foster collaboration among hyperscalers, data center operators, utilities, and government agencies. Ultimately, however, a solid forecast will serve as the best foundation for initiating and steering data center or other large-load project developments to completion.

This segment will unpack the essential elements of a forecast:

• What constitutes a forecast, and how can it be interpreted from different market participant perspectives?
• What are the unique challenges in forecasting data center load, and what approaches can be taken?
• Load forecast case studies – how different utilities and transmission operators tackle this challenge
• Best practices in forecasting that have emerged

This session will explore how utilities, hyperscalers and data center developers can engage collaboratively to address regulatory challenges and ensure compliance with permitting, energy efficiency and emissions reduction targets.

• Navigating grid connection regulations, including technical standards, permitting, and timelines
• Complying with mandates for renewable energy use and backup power systems
• Participating in demand response programs to manage peak load contributions

This session will highlight the crucial role of architectural innovations in the design and operation of hyperscale data centers and their impact on grid management. By leveraging advanced architectural principles and AI technologies, data centers can achieve greater energy efficiency, integrate renewable energy solutions, and manage grid demand more effectively. The session will also discuss the North American Electric Reliability Corporation (NERC) task force's solutions for sustainable grid management, through:

• Sustainable design principles
• Renewable energy integration
• Advanced cooling technologies

This session will consider strategies for managing load growth, preventing grid overloads, and enhancing grid stability through utility and data center collaboration.

• Regulatory frameworks and incentives for collaboration
• Role of advanced data analytics and real-time monitoring in load management
• Environmental benefits of effective load management strategies

This segment will lay out areas that require deep examination by all parties in a data center transaction, including:

• Layout and plan of service
• Electric service agreement contracts
• Specific rate structures for data centers
• “Fair share” concepts
• Subsidization of other rate classes
• Exit fees

It will also consider what some utilities, hyperscalers and project developers around the country are proposing to address these aspects.

This session will address how power purchase and off-take agreements (PPAs) are adapting to the new data center development landscape.

This roundtable discussion will consider opportunities and constraints that either enable or hinder collaboration on the following dimensions:

• Co-location near existing grid assets
• Behind-the-meter power supply
• Fiber network(s) enhancement
• Nuclear energy resuscitation
• Cost allocation and rate design
• How to avoid overbuilding system capacity for load that never materializes or serves the new load for a period of time shorter than the useful life of the new power asset
• How to ensure that utilities can deliver promised capacity to a project customer by the time the customer actually requires it