Google announced that it has entered into two utility agreements to reduce the energy usage of its AI data centers when there is a greater demand for electricity.
“Technologies like AI are poised to spur a new wave of innovation and economic growth — and meeting AI’s energy needs efficiently and reliably also presents a unique opportunity to modernize our entire energy system,” Michael Terrell, head of Google’s Advanced Energy, wrote in a blog post.
The agreements, made with Indiana Michigan Power (I&M) and Tennessee Valley Authority (TVA), serve as the “first time” Google is “delivering data center demand response by targeting machine learning (ML) workloads.”
Terrell explained that the “long-term resource planning” with the utility companies will allow the company to “integrate flexibility into future grid development” alongside its “data center infrastructure deployment.”
“I&M is excited to partner with Google to enable demand response capabilities at their new data center in Fort Wayne, IN. As we add new large loads to our system, it is critical that we partner with our customers to effectively manage the generation and transmission resources necessary to serve them,” said Steve Baker, president and chief operating officer of I&M. “Google’s ability to leverage load flexibility as part of the strategy to serve their load will be a highly valuable tool to meet their future energy needs.”
Last year, Google made an agreement with California’s Kairos Power to use nuclear reactors for energy generation. “The grid needs new electricity sources to support AI technologies that are powering major scientific advances, improving services for businesses and customers, and driving national competitiveness and economic growth,” Terrell wrote in October. “This agreement helps accelerate a new technology to meet energy needs cleanly and reliably, and unlock the full potential of AI for everyone.”
A December analysis from Bloomberg found that AI data centers are “distorting” the power grid, adding stress to what is considered “already fragile.”
