Data centers face a dual challenge: soaring energy demands and the push for sustainability. With energy grids strained and climate goals pressing for renewable solutions, operators must rethink their approach to power.Enter behind-the-meter energy – an innovative strategy offering data centers direct access to renewable resources, cost savings, and resilience in a rapidly evolving energy landscape.Rising Data Center Energy DemandsData centers have a problem – energy usage. The UK’s National Energy System Operator, for instance, estimates that data center electricity consumption in the UK could increase by nearly 900% from 3.6 terawatt hours (TWh) in 2020 to 35 TWh by 2050.The International Energy Agency, meanwhile, expects the amount of energy consumed by data centers to reach 1,000 TWh by 2026, which is about the same amount of electricity as Japan consumes.Energy grids are already struggling with growing demand across all sectors as a growing number of processes are electrified, which suggests that the surging amounts of energy required to keep data centers operational will pose a significant challenge to grid operators.When sustainability concerns are added to the mix, the picture seems to be more complicated still.Optimize for Maximum ValueRelated:Building Sustainable Data Centers: Innovations in Construction and Energy UseThere are, however, reasons to be optimistic. Renewable energy sources provided 51% of the UK’s electricity in 2023, demonstrating that progress on the energy transition continues at pace. Like all energy users, data centers are benefitting from this.However, it is vital that data center operators ensure that they make the best possible use of this renewable energy by optimizing operations.For example, rather than relying on the historical assumption that the best time to schedule operations is at night, data centers that draw a significant amount of power from solar energy may discover that it is more cost-effective to schedule these operations during the day.Data center operators should also factor in the strong possibility of negative energy prices on particularly sunny or windy days into their energy purchase plans.Where a problem may emerge for data centers, however, is ensuring they can access a reliable supply of renewable energy. Grid operators continue to face a challenge in clearing the grid connections pathway, whilst also managing the decarbonization challenges posed by grid stability and inertia.Progress is being made to tackle these challenges. For instance, the proposed planning reforms and initiatives such as the Pathfinder tenders are aimed at helping stabilize the grid. But data centers may still need to look beyond the grid to ‘behind the meter’ for a solution to their energy needs.Related:Heat Reuse Strategies for Liquid-Cooled Data CentersThe Advantages of ‘Behind-the-Meter’ EnergyPut simply, behind-the-meter energy involves building renewable energy assets directly alongside new data ce