Microsoft wants long-duration energy storage for data centers – but is not ready to “go first”

The highlights

Microsoft on LDES: Despite major investments from both the public and private sectors, and dire warnings about the immense storage needs of the U.S. grid, the long-duration energy storage market is still struggling to gain momentum.?

But 微软 's energy strategy lead said this week that the stark energy needs of the artificial intelligence boom have the potential to push LDES to cost parity — and ultimately to commercial scale. The wrinkle? The 99.999% reliability needs of data centers mean the company is “not able to go first when it comes to deployment of a new technology and that technology risk.”?

VPPs in Colorado: In May, utility Xcel Energy was compelled to create a VPP program in Colorado by a bill signed by governor Jared Polis. The new law formalizes ongoing state regulator efforts, but Xcel says that tech, and not a lack of formal regulation, remains the biggest barrier.

More from Latitude Media

• Yesterday’s virtual event took a deep dive into how utility rate design could make or break the energy transition. Stephen Lacey discussed the good, the bad, and the ugly of rate design with GridX, Inc. CCO Scott Engstrom and economist Dr. Ahmad Faruqui. Watch the recording here.
• On Catalyst last week, Shayle Kann interviewed former Tesla exec Drew Baglino about the company's vision of a decarbonized global economy, dubbed Master Plan Part 3. Read the highlights from the interview on the site.
• On The Carbon Copy, Stephen Lacey talked with Obvious Ventures managing director Andrew Beebe about how generative AI is pushing "the edge of the possible" — and what he thinks of investing in it.

Other industry news

• The Environmental Defense Fund enters controversial territory by spending millions to study the effect of reflecting sunlight to artificially cool the planet.
• Bill Gates-backed TerraPower has begun construction on its 345-MW Natrium sodium-cooled fast reactor demonstration project in Wyoming.
• AI-fueled power demand is so high, data center developers are asking NextEra for sites that can handle 5 GW or more, enough to power a major city.
• Another challenge facing the EV market in the U.S.: permitting charging stations are beset by delays.