Source: Canary Media
Utilities face a classic forecasting trap: AI datacenter demand is genuinely unpredictable, yet grid infrastructure requires decade-long commitments. Virtual power plants—networks of distributed batteries, EV chargers, and industrial loads that can respond to grid conditions in real time—offer a hedge by allowing operators to flatten demand spikes without overbuilding transmission capacity for a speculative boom. This shifts the bet from "will AI consume 20% more power?" to "can we manage load dynamically?" The latter is testable and reversible, whereas $100B+ in stranded transmission assets is not.