China’s push to power AI data centers with more renewables is hitting operational limits. Forecasting peak demand remains difficult for providers. At the same time, operators say graphics processing unit (GPU)-heavy workloads are hard to shift.

Beijing wants newly built national-hub data centers to source 80% of their electricity from renewables by 2030 under a March 2025 policy. The policy applies to new facilities in national hub regions, not all existing sites.

Pei Shanpeng of State Power Investment Corp, a Chinese power company, said data-center electricity demand could rise by 300 billion to 500 billion kilowatt-hours from 2026 to 2030. That would account for 18% of China’s total electricity-demand growth over that period. He said AI-focused data centers currently appear to offer little flexibility in managing power loads.

Experts also expect wider use of direct green-power links for data centers to face resistance from grid operators. These operators worry about lower electricity sales. They also fear failing to recover investments in transmission and distribution if demand weakens.

🔗 Source: Reuters