UII UPDATE 96 | Q2 2021
Intelligence Update

Renewable energy and data centers: Buyer, be aware

Across the world, data center owners and managers are striving to buy more renewable energy and reduce their dependence on fossil fuels. The global internet giants and the largest colocation companies have led the way with huge green energy purchases.

But the impact of renewable energy on the grid operator’s economics, and on the critical issue of grid reliability, is not well understood by many observers and energy buyers. In some cases, the purchase and use of renewable energy can expose the buyer to financial risks and can threaten to destabilize the economics of the power supply chain. For this reason, Uptime Institute is advising operators to conduct a thorough analysis of the availability and economics of renewable energy as part of their energy buying strategy.

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