Artificial intelligence (A.I.) and data centers have grabbed their share of headlines, not just for the groundbreaking technology, but also for the controversy surrounding the tremendous amount of energy they consume.

A recent study offers one approach that could help data center developers reduce their energy footprint and win over community support.

The AnnDyl Policy Group, a Washington D.C.-based policy and advocacy organization, released its study “Measurable Energy Efficiency to Meet Data Center Growth” in December. It analyzed the potential for energy efficiency investments to offset the load of data centers.

The study identified the peak load reduction and energy savings potential of a variety of residential upgrades. The analysis was intended to provide an outline of how data center owners and operators can deploy a program of energy efficiency upgrades to build local community support for their facilities.

Using data for Ohio because it is “typical of U.S. utility markets and housing stock,” the study compared four different energy efficiency upgrade scenarios. These included installation of smart thermostats combined with demand-response incentives, cold climate heat pumps with electric backup, attic floor insulation plus air and duct sealing, and heat pump water heaters. 

The study examined the impact of each scenario on several different factors, such as labor and jobs in the community, peak reduction, upgrade costs and annual energy savings.

Based on the analysis, the study's authors recommend a combination of energy efficiency insulation with air duct sealing upgrades, plus flexible loads and a smart thermostat to achieve the optimal outcome of demand reduction, job creation and customer savings on electric bills. 

Specifically, if data center owners/operators invest in these types of incentives and upgrades, they could offset up to 10% of the overall peak demand from their centers. They could also create more than 200 jobs (the highest number compared to other scenarios) if upgrades are targeted in communities around the data center. Finally, they would help customers achieve savings on their utility bills of over $3 million per year.