Aggreko: On-Site Power Generation to Improve Decarbonisation

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Aggreko finds decentralised energy solutions could support data centre sustainability goals (Image: Getty)
Rising AI-driven electricity demands require data centres to adopt scalable decentralised energy solutions and overcome grid challenges, Aggreko says

Aggreko is encouraging operators to navigate inevitable grid strain by adopting scalable decentralised energy solutions and engaging with third-party expertise across their supply chains.

Its whitepaper, Bridging the Energy Gap for European Data Centres, is released in the wake of news that global electricity demand from data centres will more than double by 2030.

In response, Aggreko reveals in its whitepaper how on-site power generation could work to overcome delays and accelerate decarbonisation efforts. However, it suggests that the challenge of procuring suitable equipment could discourage companies from investing in permanent solutions.

Billy Durie, Global Sector Head for Data Centres at Aggreko

“Grid connection delays are now a common concern in both Tier 1 and Tier 2 markets, with demand consistently outweighing supply,” says Billy Durie, Global Sector Head for Data Centres at Aggreko

“Without a solution, projects across Europe risk stalling, which can in turn lead to fines, reputational damage and a host of operational issues.”

Confronting power-hungry data centres

A report from the International Energy Agency (IEA) recently revealed that by the end of 2030, data centres could consume 945TWh of electricity each year – which is three times more than the current demand for the entire UK.

Such a sharp rise in demand is primarily driven by the fast-paced adoption of AI technologies and is set to put increasing levels of pressure on European power grid capacity. As a result, data centre owners and managers are now reassessing their strategies to take into account cost efficiency, operational resilience and power stability. 

Aggreko therefore believes that decentralised energy provision – energy close to the source, rather than a national grid – could be a potential solution to the industry’s power dilemma.

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Billy adds: “Decentralised energy provisions are already proving key to overcoming delays, but specifying the correct equipment, such as Stage V generators and Battery Energy Storage Systems (BESS) presents several additional obstacles. 

“As high energy prices, for instance, continue to strain the industry, inefficient utility equipment will further harm financial bottom lines.”

Partnerships are critical to resilience

To overcome these challenges, Aggreko is advising that data centre operators leverage third-party expertise within the supply chain to stay up-to-date on the latest developments and adaptable to evolving requirements in the industry. 

The company also says it is important that suppliers can rapidly deploy the latest energy-efficient and scalable technologies to meet urgent site needs.

Advanced energy management systems can also provide real-time monitoring and optimisation of energy usage, alongside the use of predictive analytics to empower operators to make informed decisions around equipment procurement.

Aggreko explains how data centres relying less on the grid would be a positive (Image: Getty)

“Integrating these solutions from the design phase through to full operation enables stakeholders to avoid potential disruptions while enhancing site resilience. Decision-makers are recommended to consider the long-term strategic benefits of decentralised energy equipment here, especially given the overarching pressure to decarbonise grids,” Billy continues.  

“With the AI revolution taking centre stage, the industry must avoid reversing progress made in recent years towards the clean energy transition.”

He explains how collaboration in this area will be critical for stakeholders to make good on their net zero decarbonisation targets, whilst also navigating pressures on the grid and challenges surrounding connectivity.

He says: “By sharing expertise and resources, operators and utility solution providers can uncover solutions to the pressures affecting the European data centre market. Embracing these strategies can ensure a sustainable, resilient and profitable future.”


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