Drax To Convert North Yorkshire Power Plant into Datacentre Amid AI Demand Surge
UK-based power giant Drax has announced plans to convert part of its massive North Yorkshire power plant into a state-of-the-art datacentre, set to be operational by 2027. The move comes in response to the growing demand for Artificial Intelligence (AI) capabilities, which is expected to drive up energy consumption and create new revenue streams for the company.
The datacentre, with an initial capacity of 100 megawatts, will utilise the existing land, cooling systems, and transformers previously dedicated to coal-fired power generation. The facility's electricity will be sourced from the UK's national grid, but future plans could potentially involve harnessing energy generated by the Drax plant itself.
The move is part of a broader strategy for Drax to diversify its revenue streams and safeguard demand for its electricity in an increasingly competitive market. Weeks ago, the government announced plans to reduce subsidies for renewable energy sources, which are currently supporting biomass generation at Drax's site.
However, the company has faced intense scrutiny over its sustainability claims, with reports highlighting allegations of sourcing wood pellets from old-growth forests. In response to these concerns, Drax maintains that it only uses biomass from "well-managed, sustainable forests".
The conversion of part of the power plant into a datacentre is seen as a shrewd move by Drax to stay ahead of the curve and capitalise on the growing demand for AI capabilities. The company's decision will have significant implications for both its business operations and environmental credentials in the years to come.
UK-based power giant Drax has announced plans to convert part of its massive North Yorkshire power plant into a state-of-the-art datacentre, set to be operational by 2027. The move comes in response to the growing demand for Artificial Intelligence (AI) capabilities, which is expected to drive up energy consumption and create new revenue streams for the company.
The datacentre, with an initial capacity of 100 megawatts, will utilise the existing land, cooling systems, and transformers previously dedicated to coal-fired power generation. The facility's electricity will be sourced from the UK's national grid, but future plans could potentially involve harnessing energy generated by the Drax plant itself.
The move is part of a broader strategy for Drax to diversify its revenue streams and safeguard demand for its electricity in an increasingly competitive market. Weeks ago, the government announced plans to reduce subsidies for renewable energy sources, which are currently supporting biomass generation at Drax's site.
However, the company has faced intense scrutiny over its sustainability claims, with reports highlighting allegations of sourcing wood pellets from old-growth forests. In response to these concerns, Drax maintains that it only uses biomass from "well-managed, sustainable forests".
The conversion of part of the power plant into a datacentre is seen as a shrewd move by Drax to stay ahead of the curve and capitalise on the growing demand for AI capabilities. The company's decision will have significant implications for both its business operations and environmental credentials in the years to come.