National Grid and Emerald AI Trial Data Centre Flexibility
National Grid and Emerald AI have announced a strategic partnership which is set to demonstrate how AI data centres can interact with the electricity networks to adjust their energy use in real time.
The initiative focuses on making better use of existing grid capacity while meeting the UK's growing demand for digital services.
The partners plan a live trial in late 2025 involving a grid-connected data centre that uses Emerald AI's platform, Emerald Conductor, alongside NVIDIA GPUs to dynamically manage energy consumption.
The goal is to show how data centres can adapt energy use during peak demand while still delivering performance for advanced computing.
"AI infrastructure doesn't have to be a burden on the grid – it can be a critical asset," says Varun Sivaram, Founder and Chief Executive Officer of Emerald AI.
How the trial works
The two partners plan to showcase how Emerald Conductor, an AI-powered system that acts as a smart mediator between the grid and a data centre, can support the flexible management of energy demand.
The system acts as an intermediary between a data centre and the electricity network, using AI to align computing activity with grid conditions.
The system can temporarily reduce consumption at moments of high demand, such as on hot summer days or during cold winter storms, when power use for cooling and heating peaks.
This design often leaves capacity available outside of peak periods.
So far, the trial has shown that data centres can take advantage of this unused capacity while providing assurance that they can reduce energy use when called upon.
By shifting workloads in real time, the demonstration highlights how AI data centres can support grid stability while handling mission-critical operations. This flexibility can open capacity for new data centre connections without always requiring additional investment in grid infrastructure.
Benefits for the UK energy system
The partnership with Emerald is giving the UK's National Grid more confidence that data centres can play an active role in balancing electricity demand.
It shows how existing grid infrastructure can be used more efficiently, supporting the growth of advanced computing while reducing the need for major new energy assets.
Working with the National Energy System Operator, National Grid aims to improve how rising electricity demand is managed.
By creating room on the existing grid to connect new data centres, the collaboration also positions the UK as an attractive location for investment in AI-driven industries.
"As the UK's digital economy grows, unlocking new ways to flexibly manage energy use is essential for connecting more data centres to our network efficiently,” says Steve Smith, Chief Strategy and Regulation Officer at National Grid.
“This groundbreaking trial with Emerald AI demonstrates how innovative technologies can help us optimise the grid, enable increased investment in advanced computing, and deliver real benefits to the wider UK economy.
“We're excited to collaborate with Emerald AI and other partners as we progress this project, exploring how smart solutions can support economic growth and the nation's future connectivity needs."
Varun shares this positive outlook. "Together with National Grid, we're proving that flexible AI Factories can accelerate AI innovation in the UK while enhancing reliability and affordability for everyone connected to the grid," he says.
Building a blueprint for flexible data centres
The trial also sets the stage for developing technical standards for AI data centre flexibility.
The companies aim to collaborate with customers across the growing pipeline of UK data centres and encourage wider industry participation through the NextGrid Alliance.
National Grid Partners has also invested strategically in Emerald AI, underlining its commitment to long-term collaboration.
The 2025 demonstration will show how UK AI workloads can be shifted in real time to support the grid. It also establishes a framework for integrating energy and digital infrastructure.
The companies position this approach as a way to strengthen reliability, cut costs and support the UK's clean energy transition while ensuring data centres remain central to economic growth.
