Can BESS answer U.S. data center power demand?

AI generated summary

The increasing energy demand from U.S. data centers, particularly hyperscale AI facilities, is straining the nation's power infrastructure. As of March 2025, the U.S. had over 5,400 data centers, significantly outpacing other countries. The Department of Energy predicts that data centers could account for up to 12% of the nation's electricity demand by 2028. This surge in demand poses challenges for grid operators, particularly regarding interconnection issues and the integration of renewable energy sources. The complexity of forecasting energy needs for this relatively new industry complicates the response from policymakers and energy providers.

Battery Energy Storage Systems (BESS) are emerging as a potential solution to balance the grid and meet the rising demand from data centers. Experts suggest that BESS can provide flexibility and reliability, allowing data centers to manage peak demand without sacrificing uptime. While there is optimism about the role of batteries in alleviating congestion and supporting renewable energy integration, challenges remain, including supply chain issues and regulatory hurdles. The future of energy supply for data centers may rely heavily on the successful deployment of BESS alongside traditional energy sources like gas, as the industry seeks to adapt to rapidly evolving technology and demand patterns.