Story perspectives

Data Centers: Key to 100GW Capacity Amid Regulatory Challenges

9/10/2025

Summary

Story summary

Tyler Norris from Duke University noted that data centers could contribute over 100 gigawatts of grid capacity through flexible energy use.
New companies are launching flexibility services, with pilot projects in progress.
PJM Interconnection anticipates a 32 GW peak load increase by 2030, mainly due to data centers, leading to the contentious non capacity-backed load (NCBL) proposal.
Amazon and Microsoft raised concerns about the NCBL's mandatory curtailment and unclear benefits for large loads.
The demand response landscape is evolving to enhance flexibility and grid reliability, facing regulatory and market design challenges.

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Story summary

Tyler Norris from Duke University noted that data centers could contribute over 100 gigawatts of grid capacity through flexible energy use.
New companies are launching flexibility services, with pilot projects in progress.
PJM Interconnection anticipates a 32 GW peak load increase by 2030, mainly due to data centers, leading to the contentious non capacity-backed load (NCBL) proposal.
Amazon and Microsoft raised concerns about the NCBL's mandatory curtailment and unclear benefits for large loads.
The demand response landscape is evolving to enhance flexibility and grid reliability, facing regulatory and market design challenges.