Challenge:

The client, a data center developer, faced increasing energy procurement challenges as they expanded operations to new regions. With rising power demands, the client needed to assess the feasibility of gas-fired power plants, battery energy storage systems (BESS), and renewable integration to optimize energy costs while ensuring grid stability and regulatory compliance.

Their key concerns included:

• Cost-effectiveness of various on-site vs. grid-connected power solutions.
• Reliability of gas-fired generation vs. alternative energy sources.
• Regulatory hurdles in securing long-term energy contracts for uninterrupted supply.
• The economic viability of renewables and how they could complement traditional power sources.

PowerTek’s Solution:

PowerTek conducted a comprehensive cost-benefit analysis, evaluating multiple energy procurement options, including:

• Gas-fired power plants: Analyzed feasibility, fuel supply logistics, and long-term cost predictability.
• Battery Energy Storage Systems (BESS): Assessed viability for peak shaving and demand response.
•  Renewable integration (Solar, HVDC, PPAs): Modeled potential cost savings and carbon reduction benefits.

Leveraging advanced modeling tools (PSS®E, PSCAD, ETAP), PowerTek also performed grid impact studies, evaluating interconnection feasibility, power quality concerns, and grid stability risks. Additionally, PowerTek provided regulatory advisory services, ensuring the client’s energy procurement strategies aligned with ISO, IEEE, and local grid codes.

Results:

• Optimized energy procurement strategy, ensuring the lowest-cost, most reliable power solution.
•  Demonstrated that a gas-fired generation approach was the most cost-effective, with supplementary renewable PPAs reducing long-term exposure to fuel price volatility.
•  Identified regulatory risks and permitting challenges early, preventing costly delays.
• Provided grid integration roadmaps to ensure seamless interconnection with local utilities.
• Helped the client establish a long-term sustainability framework, balancing cost efficiency with ESG