Big Questions

How do we plan for the next generation of power demand?

The energy transition is changing more than how electricity is generated — it’s changing how we plan the networks that deliver it
Digital Infrastructure Data Centers Energy & Power Electricity Networks
Chris Boden
Senior Associate Director, Future Energy & Power Systems
Group of people discussing

One of the biggest changes I've seen during my career isn't simply that demand is growing, it's that we're no longer planning for the same kind of demand. 

The push to mass electrification is changing the nature of electricity consumption. The mantra of the energy transition has become "electrify everything." Added to this is the proliferation of gigawatt-scale developments — not just AI data centers, but also renewable generation and battery energy storage. The nature of power demand forecasting must change to adapt because traditional planning assumptions no longer always hold true. 

Traditional network planning assumptions no longer hold 

Traditional network planning made assumptions about the size and nature of load growth. Those assumptions don't always hold anymore, especially when a load the size of a small city can apply to connect at any point. Baseline demand is increasing because almost every type of consumer uses more power than in years gone past due to mass electrification.  

Planners also have to consider intermittent generation such as solar and wind together with increasing amounts of storage.  All of this is increasing the complexity of network planning, requiring new approaches for the smarter grid of the future. 

Planning generation, transmission and storage together 

One of the biggest mistakes we could make is continuing to plan generation, transmission, storage and demand as separate challenges. 

The rise of intermittent generation together with short, medium and long-duration storage means we must consider demand, generation and storage in a holistic manner rather than as standalone items.  

There are significant efficiencies and savings possible by operating the power grid as a smarter system capable of responding to changing demand and generation. This can save unnecessary reinforcement costs and ultimately reduce costs for consumers. 

Transmission planning is becoming the critical enabler 

Our clients, especially large data centers, renewables and storage developers, are dependent on the transmission network to enable their developments. The demand for transmission connections and other grid connections is higher than it has ever been. Planning must now consider the possibility that the spare capacity of a piece of network could be taken by a single customer in a short time. Developments like these are essential for enabling the energy transition. 

The conversations I'm having with clients today are changing too. They’re looking at larger and more flexible installations. Connection timescales remain a real factor throughout projects, and we're increasingly discussing how assets such as inverters can provide ancillary services alongside their core function. 

The future grid also needs public confidence 

One area I think the industry should spend more time discussing is the third element of the energy trilemma — security, sustainability and equity. 

We’re very good at establishing security and are rapidly improving sustainability. We must ensure there is an ongoing focus on equity. Community engagement, offsets and education must become a core part of what we do. Resistance to essential infrastructure is increasingly common, and we must explain why these projects matter while ensuring their impacts are rationalized and justified. 

Building the next generation of power systems is more than an engineering challenge — it's about bringing communities with us.