Utilities are investing heavily in infrastructure to meet the rising electricity demand from data centers, driven by AI technologies. However, risks include potential stranded investments due to unpredictable demand, credit risks from large customers, and challenges in managing interconnected investments. The industry is adopting large load tariffs and long-term contracts to mitigate these risks, while concerns about sustainability and energy efficiency remain prevalent.
Utilities are spending billions on the data center boom. What are the risks? | Utility Dive
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Diana DiGangi
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Utility Dive
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