Michaela
London’s Planning and Regeneration Committee has released a new report revealing that several housing projects in west London faced temporary delays after nearby data centers, which draw significant power from the National Grid, reached full capacity during an ongoing housing shortage.
Key Points
- Rapid expansion of energy-intensive data centers in West London has delayed housing projects, with some not connected to the grid until the 2030s.
- Authorities are implementing phased electricity allocations, grid upgrades, and process reforms to address capacity issues.
- Data centers, while currently under 10% of the UK’s electricity demand, are projected to grow significantly, consuming as much as 100,000 households each.
“With housing developments competing for power against energy-hungry data centers and tech companies, the Committee launched this investigation to look into this issue and what was being done to address it,” the report indicated.
The newly published report shows that as early as 2022, the Greater London Authority (GLA) began receiving alerts that housing projects in the boroughs of Ealing, Hillingdon, and Hounslow were being assigned electricity connection dates stretching well into the 2030s. In several cases, developments were completed but could not be occupied due to a lack of available power capacity.
Subsequent inquiries found that the rapid expansion of data centers across West London and along the M4 corridor had placed significant pressure on the local transmission and distribution network. As these facilities consumed increasingly large amounts of electricity, the system’s remaining capacity for new housing developments diminished. The report notes that the waiting list for grid connections continued to grow, with some developers informed they might not receive access until 2037, nearly 15 years after initial construction.
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To address the mounting capacity constraints, authorities have begun rolling out a series of measures. These include reassessing the connection queue, supplying new housing developments with electricity in phased allocations, upgrading parts of the power network, and advancing reforms aimed at streamlining the grid-connection process.
The report emphasized the importance of “longer-term planning” for London’s electricity grid to support future housing developments. Although data centers accounted for less than 10% of the UK’s total electricity demand last year, their consumption is projected to surge by up to 600% between 2025 and 2050. The report also noted that a single average data centre can use as much energy as approximately 100,000 households.
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Data centers are facilities that house servers powering the internet, cloud services, and corporate networks. They consume large amounts of energy because servers run 24/7 and generate heat, requiring extensive cooling. As digital demand grows, data centers increasingly strain local power grids, affecting electricity availability for other uses like new housing.
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MICHAELA
Michaela is a news writer focused on cryptocurrency and blockchain topics. She prioritizes rigorous research and accuracy to uncover interesting angles and ensure engaging reporting. A lifelong book lover, she applies her passion for reading to deeply explore the constantly evolving crypto world.
