Power systems worldwide face significant challenges due to the increasing demand for AI, electrification, and the impact of extreme weather events. The integration of renewable energy sources presents additional challenges, causing grid instability due to frequent fluctuations. These fluctuations affect data centers, where even brief disruptions threaten critical workloads, making resilience beyond their walls more urgent than ever.
Data centers will use up to 20% of global energy within 10 years, according to the Institute for Energy Research. They have a substantial stake in achieving grid stabilization, and they can contribute by temporarily disconnecting during rapid shifts in generation. This is possible with UPS technology called Fast Frequency Reserve (FFR), which allows data centers to disconnect from the grid for up to 30 seconds – just enough time for the utility to switch from a wind or solar source to another while maintaining grid stability.
Once the switch is completed, the data center can reconnect to the grid without interrupting its own operations. A brief disconnection can have a significantly positive impact. Power grids around the globe are being strained, and the Bank of America Institute says 46% of the U. S. grid’s distribution infrastructure is “beyond its useful life.”
The ability to support grid stability efforts revolves around the paradox of “participating by not participating” in the grid. As the global energy transition toward clean, renewable power continues, grid support is likely to become a standard feature for data center operators seeking to accelerate their decarbonization efforts.
Lack of inertia causes instability
Solar and wind power sources are inherently intermittent. Unlike fossil fuels, they are primarily dependent on weather patterns and climatic conditions to supply energy. Fossil fuel power generation uses massive rotating machines. Rotation creates inertia that smooths out frequency fluctuations caused by changes in energy production.
Solar and wind energy production systems are electronic, lacking inertia. This creates the challenge of maintaining stability during power fluctuations. During a power outage in April 2025 that affected Portugal, Spain, parts of France, Germany, and Italy, the use of renewables exacerbated the situation, although they did not cause the failure.
One way grid owners are addressing stability challenges involves tapping battery energy storage systems (BESS). But data center operators can help by leveraging FFR. It allows them to become active grid assets by leveraging existing UPS infrastructure to support the grid without compromising critical load protection.
From problem to solution
UPSs with FFR can become part of grid operators’ contingency plans for maintaining stability, potentially helping them to accelerate the transition to renewables and move towards decarbonization. Currently, data centers are under intense pressure to expand so they can support power-hungry AI workloads. This, in turn, puts pressure on grid operators to provide the necessary power, which isn’t readily available in some geographies.
Helping grid operators address volatility means that data centers can be part of the solution, rather than just being part of the problem. Instead of merely being consumers, they become active participants in grid operations. They will need to upgrade their existing UPS infrastructure to support FFR, which integrates seamlessly with existing Lithium-ion and lead-acid batteries for short-duration, low-impact activations.
New technology: Energy storage that strengthens grid resilience
Schneider Electric helps data centers become active participants in grid stability by providing FFR in Galaxy VXL UPS models. The technology offers forward-thinking data center operators a competitive advantage by helping grid owners tackle a significant challenge.
Consequently, data centers position themselves as leaders in decarbonization. They can demonstrate to customers their commitment to sustainability efforts, which for some organizations is part of the criteria for selecting data center partners. This creates a mutually beneficial situation for grid operators, data centers, and their customers.
Eventually, FFR and on-site power generation might enable data centers to supply some power to the grid, making their grid support even more intrinsic. The future of resilient digital infrastructure relies on collaboration between data centers and the grid. Learn more about FFR solutions and the role data centers can play in stabilizing the grid.
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