It’s that time of the year when we often get invited to ‘look ahead’ and comment on what we as an industry alliance see as the main trends in the coming year. Just this month, we have been quoted talking about the growing demand for electric vehicle (EV) charging infrastructure in City Transport & Traffic Innovation (CTTi) magazine.

But this is nothing new. EV charging has been ‘on trend’ for some time and still we talk about the need for equitable access to charging points.

This got me thinking about trends in our industry that are genuinely ‘new’. The fact is that most of them have been around for a while but are kept fresh and in the spotlight by new challenges, opportunities and risks. This is good and allows us to keep evolving our energy flexibility messages as technology evolves

On the subject of EV charging, I’ve been banging the drum for a few years now. I often talk about an infrastructure that's ‘fit for purpose’. It’s a well-worn phrase but does the job. EV owners need to feel confident there's a viable network of fast charging points. They want control over where they charge, how they charge and when they charge their vehicles.

In my recent comments for CTTi, I stress the importance of improved communication between suppliers and customers supported by standardised data on pricing, energy consumption and capacity for effective load control.

A well-designed system will empower energy suppliers to respond dynamically to fluctuating demand, ensuring reliability and sustainability.

Since we are on the subject of future trends, it seemed timely to look at one or two of the most interesting ones over the coming weeks in a series of blogs. So, for my first one, I make no apologies for mentioning AI in relation to power-hungry data centres.

AI is designed to make often complex tasks easier and quicker, which requires more power – a lot more power.

According to the IEA, data centres currently account for around 1% of global electricity consumption, with annual electricity consumption from data centres globally about half of the electricity consumption from household IT appliances, like computers and phones. But, as the number and size of data centres grow, it will have consequences for the energy sector.

With tech firms under pressure to make data centres more energy efficient, how will this sit with the predicted growth in AI, cryptocurrency and other power hungry applications?

To ensure data centres become more sustainable, microgrids (or virtual power plants) could be the answer in providing a sustainable and efficient energy supply. Already used in other scenarios, from residential homes to large campuses like Apple in the Silicon Valley, they could become a viable option for data centres.

They can improve reliability by managing power consumption and maintaining power during grid problems, a critical factor for data centres that demand uninterrupted operation. They can also reduce carbon footprint by integrating renewables like solar or wind and energy storage, and by utilising local generation and demand-response strategies, they can reduce operational costs.

There are challenges, of course, with set-up costs for microgrids requiring significant capital investment and high levels of technical complexity.

But the bottom line is that the data centres are going to need a very high continuous supply of power and microgrids offer options for a more resilient and responsive energy infrastructure.

Decentralized power through a network of microgrids and VPPs can help dynamically manage power loads and optimize the use of renewable energy – especially as demands on the grid grow as we march onwards towards an AI-powered future

We’ll be exploring this – and the role for the Alliance and our members – over the coming months. Stay tuned.