Data center facilities are no longer small, isolated sites with simple power demands but critical infrastructure projects that now require multi-gigawatt campuses to match the rising demand. Consequently, securing power has evolved into a complex engineering and regulatory challenge.
In this DCD>Talks episode, Michael Bergstrom, senior manager of energy market development at Ramboll, outlines how unprecedented load growth, changing grid standards, and shifting utility requirements are transforming the project lifecycle.
From physically climbing over 100 wind turbines early in his career to now guiding clients through grid access, on-site generation, and waste heat recovery, Bergstrom leverages his wide experience across industries to help facilities navigate an increasingly tight power grid.
This diverse background offers a unique vantage point on the evolving sector where power is no longer just a supply problem, but a multi-layered hurdle across design, grid modeling, and utility collaboration.
The end of passive interconnection
For decades, electricity demand across North America remained relatively flat. The rapid proliferation of artificial intelligence and hyperscale infrastructure changed that balance in the last few years, placing intense pressure on aging utility infrastructure.
Previously, developers could enter interconnection queues with aspirational targets or vague expansion timelines. Today, utilities and regional transmission organizations demand highly specific technical details from day one.
“Upfront, you really need to have a specific load profile for the data center that you’re going to build – ideally matching up with a specific tenant or operator. Because data center loads can move up and down quite quickly, having those plans in place as soon as you speak to a utility is really important,” says Bergstrom.
Without concrete operational models, developers risk being stalled in increasingly competitive interconnection queues.
Meeting stricter grid compliance
As data centers introduce massive, volatile loads to local networks, grid operators are tightening reliability criteria. Issues like subsynchronous frequency oscillations – which can threaten grid stability – are moving from niche technical considerations to mandatory compliance factors.
To mitigate these disruptions, developers are increasingly integrating advanced hardware directly at the substation level. Bergstrom notes:
“Grid compliance standards are changing. They are becoming more stringent. We’re going to see an increased use for technologies like battery energy storage systems and statcoms at the grid level to handle dynamic responses to reactive power.”
Advanced power modeling and site-level stabilization tools are fast becoming a prerequisite for securing utility approvals. According to him, these technologies are going to be more standard, if not almost required, moving forward across large sites.
Speed to power vs. project viability
While the industry-wide rush for rapid power access continues, the definition of “speed to power” is shifting. Merely holding a power reservation is no longer enough to guarantee a viable development. Bergstrom explains:
“It’s not just access to power; it’s access to an implementable project. That’s where having plans in place – where you understand interconnection, community engagement, and permitting – ensures that when you do have power, the project is actually ready to move forward.”
Instead of relying solely on greenfield sites, many operators are pivoting toward scaling existing campuses to meet growing capacity needs without starting from scratch.
“We’re seeing a shift where developers are taking sites that were originally planned for hundreds of megawatts and looking at how to scale those into gigawatt-scale campuses,” he observes.
This strategy allows teams to leverage established infrastructure while solving complex Phase II power requirements, such as bridging power or behind-the-meter generation.
Giving due diligence
To navigate these moving parts, early-stage site selection requires a much deeper level of scrutiny than in previous years. Simple proximity mapping to high-voltage transmission lines no longer provides a complete picture of feasibility as Bergstrom says:
“A few years ago, you could maybe just take a look on the map, do some GIS work, and see how close you are to large transmission lines. But that process has changed. You have to start upfront with power due diligence early in the process and make sure you’re actually going to have a pathway to power via pure grid interconnection, on-site generation, bridging power, or some hybrid solution.”
Integrated due diligence must weigh grid access alongside water availability, fiber connectivity, environmental impacts, and local community expectations simultaneously.
“You want to make sure that you’ve done your diligence properly, you know what your potential end users are looking for, and you’re matching those things up as much as you can in the beginning of the process and front-load it, so to speak.”
Addressing these technical constraints early is the single most effective way to protect project timelines and hit sustainability goals.
To learn more about how Ramboll helps facilities overcome power constraints and accelerate project timelines, watch the full DCD>Talk episode here.
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