Lancium, a data center technology company, and MP2 Energy, a wholly-owned subsidiary of Shell Energy North America (US), L.P., today announced the first successful load-only Controllable Load Resource (CLR) designation by the Electric Reliability Council of Texas (ERCOT). While available since 2004, achieving this designation is a first in ERCOT for a load only and without generation. Power consumption can be the single largest expense for companies that play in the High-Throughput Computing (HTC) space, like machine learning, cryptocurrency mining, and fluid simulations, and this energy optimization option can significantly reduce those costs.
“As demand response pioneers, we are thrilled to partner with MP2 on this breakthrough achievement,” said Lancium CEO, Michael McNamara. “Lancium has been dynamically ramping server power consumption for years. Being the first designated CLR is a testament to our technical and IP leadership.”
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High-Throughput Computing data centers are electricity intensive and energy demand from these data centers is growing around the world. This solution from Lancium and MP2 Energy allows customers to decrease data center power consumption and dispatch excess energy into the energy grid during times when energy is most expensive. Conversely, they can resume power consumption during low price periods. With this revolutionary advancement, data centers will also be able to earn additional revenue providing ancillary services to ERCOT like a traditional generator; they can respond to ERCOT instructions in seconds while simultaneously providing Primary Frequency Response to stabilize the grid.
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Taken together, these solutions will have the potential to allow data center customers to reduce their average electricity costs by more than 50 percent. It also allows them to respond to ERCOT instructions in seconds, to meet the response characteristics required for CLR.
“After collaborating with Lancium, we recognized the value in the unique flexibility of their solution. Combining our capabilities put us at the forefront of an evolving grid that helps reduce cost for our customers,” said MP2 Chief Executive Officer David Black, “The increasing volatility of energy supply associated with greater levels of renewable power creates reliability challenges for the electricity grid. This product helps to stabilize the grid in an extremely effective manner, reach new customers and positions us as a leader in demand response, not only in ERCOT, but throughout the U.S.”
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