The future of data centre power: overcoming grid constraints

Author: Simon Rowley

By Chris Connors, Project Sales Director and John Kinstrie, Energy Solutions Director, at DTGen.

As the UK’s data centre industry continues its rapid expansion, developers face mounting challenges in securing reliable and resilient power sources. With the demand for cloud computing, AI processing, and hyperscale facilities growing exponentially, ensuring continuous power availability has become a top priority.

However, limitations in grid capacity, rising energy costs, and sustainability pressures are creating obstacles for future data centre developments. To navigate these challenges, DTGen is exploring the feasibility of island mode power systems as a viable and sustainable solution.

The growing power challenge for data centres

According to the National Grid, data centre power use is set to surge six-fold in the next 10 years, placing significant strain on the network. Some of the key challenges developers face include:

Grid capacity constraints

• Limited grid availability, especially in London and the South East, is already causing delays in new data centre projects.
• Increasing power demand from both residential and industrial sectors adds pressure to an already stretched infrastructure.
• Availability and lead time for backup power solutions such as the large-scale standby generators required for resilience.
• The shift towards renewables and decarbonisation introduces additional complexities in securing stable power.

Rising energy costs and stability risks

• Grid instability, caused by factors such as extreme weather and peak demand fluctuations, increases the risk of power outages.

Sustainability and carbon reduction targets

• The UK’s net zero commitments require data centres to reduce their carbon footprint and incorporate sustainable/renewable energy sources.
• Operators are under pressure to explore low-carbon power options, including battery storage and renewable energy integration, to remain compliant with environmental standards.

Planning and land availability

• Whilst the planning process can be lengthy and strict, regulations create delays in new developments with a shortage of suitable land in key regions such as Slough and London, new data centre projects looking to build on green belt land can now apply for a fast-tracked scheme (Nationally Significant Infrastructure Projects or NSIPs) which means projects would receive a more centralised and expedited planning process overseen by the UK government. It is yet to be seen how developers will navigate this new process.

Given these constraints, data centre operators must rethink their energy strategies to ensure long-term resilience and sustainability.

Island mode power systems: a reliable and independent solution

To mitigate the challenges associated with grid reliance, data centres should start actively exploring the concept of ‘island mode’ power systems. This approach could enable facilities to operate independently from the national grid using on-site power generation such as diesel/gas/HVO powered generators, battery storage, and renewables.

Key benefits of island mode for data centres

Whilst a mains grid connection is widely recognised as the preferable solution, there may come a time when capacity simply cannot cope. In order to meet demand, there are many benefits to an island mode approach and it could be a worthy consideration to support the industry to keep pace. With grid constraints increasing, complete energy independence and this added level of energy security could mean that data centres can function autonomously, reducing reliance on an overstressed national grid.

Island mode also facilitates scalability for new developments, particularly in areas where grid upgrades are costly or entirely unavailable. This approach also supports the drive for more sustainable solutions and carbon reduction targets because island mode enables for better integration of renewables, battery storage, and efficient generators, supporting net zero goals.

Looking ahead: the future of power in data centres

As the global data centre industry grows, the pressure on the national grid will only intensify. Island mode power systems offer a practical, scalable, and sustainable solution to power constraints, without being limited by grid availability.

For developers planning new facilities, investing in on-site generation, energy storage, and efficiency measures will be key to securing reliable power for the future.

As is finding a delivery partner with the expertise and strength of supply chain to ensure capital equipment is delivered and installed within the timescales required. The combination of island mode and smart energy strategies ensures business continuity, cost predictability, and long-term sustainability in an increasingly power-constrained environment.

If you would like more information about an island mode power system for your data centre development and effective implementation, talk to the energy solutions team at DTGen.