Addressing data center efficiency: lessons learned from process evaluations of utility energy efficiency programs

Abstract

This paper summarizes the unique challenges related to addressing energy efficiency in the data center industry and lessons learned from original research and two process evaluations of energy efficiency programs with components that specifically target data centers. The lessons learned include: creating program opportunities specifically focused on data centers; clearly identifying target data centers able to implement energy efficiency programs; understanding decision making in these facilities; and effectively communicating the program opportunities to the target market. The growing energy use of data centers has drawn international attention from policy makers, regulators, industry consortiums, and electric utilities. Any program effective at improving the energy performance of data centers must include specific strategies and processes aimed at confronting a number of challenges specific to this industry, including: the concentrated and rapidly growing energy use of these facilities; the rapid pace of innovation; the extremely high reliability requirements; and the significant split incentives due to the typical data center management structure. The process evaluations covered in this paper are the Pacific Gas and Electric (PG&E) High-Tech program and the Silicon Valley Power (SVP) Public Benefits Program. While the PG&E evaluation was a more complete process evaluation, the SVP evaluation focused specifically on participation from co-location facilities. These process evaluations together included interviews with program participants, nonparticipants and utility staff and also included outreach to a large variety of industry stakeholders. In addition, the PG&E evaluation included detailed process-mapping used to identify the necessity and importance of all program processes. The insights gathered from these evaluations are not only applicable to US electrical utilities but can also be applied to any international organization looking to create incentives for energy efficiency or demand reduction in this industry.