Utility Dive•about 1 month ago
America’s new power barons: Who will rule the AI-grade megawatt megasector?
Key Takeaway
The future power supply for the AI megasector will be a strategic blend of gas, renewables, and storage, driven by the critical need for firmness, cost-effectiveness, and stability.
AI Summary
- •The emerging 'AI-grade megawatt megasector' will require a hybrid power model combining natural gas, renewables, and energy storage.
- •Natural gas will provide essential firmness for AI loads, while renewables offer cost advantages and address public perception and policy considerations.
- •Energy storage will be critical for ensuring grid stability to meet the demanding, continuous power requirements of AI infrastructure.
- •Developers and large power consumers (e.g., datacenters) should plan for integrated solutions that strategically blend these three generation and storage types.
Topics
capacity-marketccgtdatacenteremissionspolicysimple-cyclesolarstoragewind