Systems thinking for energy
Delivering reliable, affordable, and sustainable energy is a continual conundrum that developers and owners face daily. This has come into sharp focus recently as electricity consumption is growing after years of relatively flat demand, largely driven by data centers and electrification. Electricity prices have jumped for all consumers, and the need to modernize the grid to support a data-driven economy has never been more urgent. The solution: a systems thinking approach that looks at the whole - generation, delivery, and consumption - to fulfil current demand needs and prepare for the future.
While data centers are not the only force driving load growth, it is the one getting the most attention. What’s more, the effects data centers have on the grid can cascade from the largest to the smallest users, which makes systems thinking a requisite to finding a sustainable, affordable, and equitable solution.
In practical terms, this means using all types of energy - thermal and renewables - for generation, as well as implementing carbon capture and storage (CCS) where appropriate. Storage will play a role as well, especially with large-scale projects, by bypassing grid bottlenecks and controlling costs and timeline creep. Understanding how these disparate pieces fit together is where DNV comes in - our team’s overarching market view helps to identify and mitigate risks to deliver successful, bankable projects.