Data center developments are accepting the challenge to supply their own power needs through special provisions for natural gas, solar, and nuclear power generation.
In our research, Mangum Economics has identified a growing number of “powered land” opportunities, where data center developments are colocated with utility scale solar farms to optimize power supply and efficiency. These opportunities assist data center companies with their clean energy and sustainability commitments.
The codevelopment of data center and energy infrastructure (bring-your-own power) is an increasingly critical solution to the problem of lengthy power ramps. It is tempting to want to blame public utilities for delays. However, new electric transmission lines and natural gas pipelines can take over a decade to bring online, and utility businesses are highly regulated at the state, regional, and federal levels.
Data center developments are accepting the challenge to supply their own power needs through special provisions for natural gas, solar, and nuclear power generation. Because Mangum Economics works with energy, utility, and data center development projects to demonstrate how these major investments benefit local and state economies, we see the transformation taking place across the country in our own business.
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ABOUT THE AUTHOR
Martina Arel, Director of Economic Development & Energy Research at Mangum Economics, based in Richmond. She is an experienced economic development professional with a strong background in data analysis, evaluating community assets, incentive programs, and return-on-investment. She has worked in regional and state economic development organizations and private sector companies. For Mangum Economics, she leads analysts working on projects in the economic development and energy sectors. Martina specializes in the analysis of the economic and fiscal benefits of energy projects on states and local communities. Her team has worked on over 50 GW of energy projects in over 30 states. She represents clients at community meetings and serves as an expert witness at local and state siting board hearings.
David Zorn advises businesses, trade associations, and governments on the community impacts of critical infrastructure. Previously, he spent over 20 years at the US Food and Drug Administration working on food safety, nutrition, risk assessment, and public health, ultimately serving as Director of Social Sciences. He has published papers on food safety, risk assessment, and data quality. He earned a PhD in Economics from George Mason University.
