RE+ 2025 Takeaways: The Future of Energy & Data Centers
Ducker Carlisle participated at the RE+ show in Las Vegas last week, the largest clean energy event in North America. Not surprisingly, future expected data center load demands and approaches to address this were primary topics.
We identified some key takeaways:
AI and Other Tools Developing to Balance Data Center Loads: Data centers have rather variable loads throughout the day, and industry leaders are developing and testing AI tools to better optimize electricity usage and leverage storage systems. In addition, approaches like large load tariffs and ride-through requirements are under consideration and being used.
Renewables are Critical to Grid Investment Given Deployment Speed: Future load demands, especially from data centers, require fast installation of generation capacity. Renewables, along with natural gas generators, can be deployed quickly behind the meter to meet short-term needs while grid connections are established and utility generation & transmission is expanded to meet longer-term needs.
Small Modular Reactors are not The Solution: Small modular reactors will take at least 5-7 years at this point to deploy; their contribution to solving the electricity capacity problem won’t materialize until at least the early 2030s. This design & construction timeline is not much shorter than for a full-scale reactor, which will be the better long-term solution for increased generation capacity.
Long Duration Energy Storage (LDES) is Advancing: Long-duration energy storage systems (e.g., thermal storage, compressed air storage, flow batteries, hydrogen, etc.) are increasing penetration due to increased economic attractiveness. This will be critical for expanded renewable adoption as this allows for consistent electricity transmission during inconsistent weather (lack of wind or sun for an extended period), seasonal shifts, and consistent 24/7 delivery from renewables. Further, LDES systems generally have a more domestic supply chain than do lithium-ion systems, which is beneficial in the face of expanded Foreign Entities of Concern (FEOC) restrictions in the One Big Beautiful Bill Act.