Blog

Equinix, headquartered in California, USA, announced it had signed a letter of intent (LOI) with energy developer ULC-Energy, which would act as the operator of the Rolls-Royce SMR 470MW reactor and agree to sell 250MWe of the output via a power purchase agreement (PPA).

An Equinix spokesperson explained to NCE that “the generator will be sending all power to the grid and Equinix is simply drawing the equivalent capacity that they have paid for”.

The data centre operator said it was “working with leading energy companies that are developing innovative approaches to generating reliable and sustainable electricity to support the needs of Equinix data centres worldwide, including in parts of Europe”.

Equinix cited an expectation that electricity demand will be increasing 4% per year by 2027 and it was diversifying its portfolio of energy sources to improve its energy security.

“Looking ahead, the company is supporting the development of advanced nuclear technologies that can deliver reliable, clean power in the future,” the company said in a statement.

“Next-generation nuclear technologies can offer a pathway to faster nuclear deployments due to their simplified design and robust safety features. Equinix sees safe, efficient and reliable nuclear energy as a promising solution to help power both data centres and the broader grid.”

In addition to the proposed Netherlands-based Rolls-Royce SMR PPA, Equinix announced a preorder agreement for the purchase of 20 microreactors from an SMR technology company called Radiant.

Radiant has designed the Kaleidos reactor which Equinix said “offers a reliable, long-lasting energy source that can be transported anywhere it’s needed, installed in days, and deployed safely alongside existing equipment and integrated with on-site transmission infrastructure”.

Data centre executives highlight need for consistent electricity supply

Equinix executive vice president of global operations Raouf Abdel said: “Access to round-the-clock electricity is critical to support the infrastructure that powers everything from AI-driven drug discovery to cloud-based video streaming.

“As energy demand increases, we believe we have an opportunity and responsibility to support the development of reliable, sustainable, scalable energy infrastructure that can support our collective future.

“By working with our energy partners, we believe we can support the energy needs of our customers and communities around the world by helping to strengthen the grid and investing in new energy sources.”

Equinix senior vice president and chief procurement officer Ali Ruckteschler said: “The potential challenges to powering reliable and sustainable digital infrastructure are considerable.

“However, Equinix has always been at the forefront of energy innovation, signing the data centre industry’s first agreement with a SMR provider and pioneering the use of fuel cells a decade ago. Powering AI infrastructure responsibly is a global priority.

“With Equinix’s operational expertise, trusted supply chain, and close partnerships with the U.S. and global governments and utilities, we are poised to deliver safe, secure and reliable AI solutions for our customers and the communities we serve.”

SMRs can solve problem of increasing data centre electricity demand – Rolls-Royce SMR

Rolls-Royce SMR head of customer engagement Sophie Macfarlane-Smith said: “Rolls-Royce SMR has been closely working with ULC-Energy since 2022 and is delighted with the LOI between ULC-Energy and Equinix.

“Data centre demand is expected to become increasingly disruptive and ULC-Energy’s deployment model means provinces and municipalities will directly benefit from the future presence of SMR and data centre infrastructure.”

Like what you’ve read? To receive New Civil Engineer’s daily and weekly newsletters click here.