Energy Crisis

U.S. data centers footing enormous electric bill.

A new report by the U.S. Environmental Protection Agency (EPA) predicts that data center electric bills will grow exponentially over the next four years. Even with existing efficiency trends factored in, the U.S. data center power bill will mushroom from $4.5 billion in 2006 to an estimated $7.4 billion in 2011.

In December 2006, Congress requested that EPA develop the report to examine market trends in the growth and energy use of servers and data centers. The growing use of these systems, and the power and cooling infrastructures that support them, have increased energy use and greenhouse gas emissions, and raised concerns about power grid reliability.

Data centers consumed about 60 billion kilowatt-hours (kWh) in 2006, roughly 1.5 percent of total U.S. electricity consumption and enough electricity to power 5 percent of homes in the U.S. Federal servers and data centers alone account for approximately 6 billion kWh (10 percent) of this electricity use, at a total electricity cost of about $450 million per year. The energy consumption of servers and data centers has doubled in the past five years and is expected to almost double again in the next five years to more than 100 billion kWh.

Action Items

Existing technologies and strategies could reduce typical server energy use by an estimated 25 percent, with even greater energy savings possible with advanced technologies. The EPA Report on Server and Data Center Energy Efficiency shows that data centers in the U.S. have the potential to save up to $4 billion annually in electricity costs through more energy-efficient equipment and operations and the broad implementation of best management practices. The report recommends priority efficiency opportunities and policies that can also lead to additional savings using state-of-the-art technologies and operations.

According to Info-Tech Research Group, government needs to take a leadership role to stem the excessive power consumption curve by data center operators in North America. The high-tech research firm says that the findings of the report are no surprise given that enterprises lack guidelines on acceptable power usage.

"Greening of the large enterprise data center is just a pipe dream at the moment because there's no motivation or support for IT departments to change," said Aaron Hay, research consultant at Info-Tech Research Group. "The U.S. and Canadian governments need to work with data center operators, vendors and industry associations to facilitate setting practical and actionable targets for immediate reductions in data center power consumption. There should be a sense of urgency around this issue that is not evident today."

Standards Needed

Although many IT managers are seeing electricity costs consume an ever-larger chunk of their budgets, few have been able to take steps toward implementing energy-saving technologies.

"That's because without standards or metrics for what energy consumption overall in data centers should be, IT managers have no bottom-line numbers to convince management of the cost and performance improvements that can be achieved," Hay said.

Fortune 500 enterprises can help by putting pressure on vendors to make rigorous product improvements to reduce power drain, and by encouraging vendors to work together to establish industry benchmarks, said Hay. Smaller enterprises can help reduce power consumption through immediate improvements such as virtualization, where fewer servers can manage tasks previously done by many servers. Data center operators can then reduce the power drain of air conditioners required to cool servers. But government leadership is needed to motivate the industry to develop a standard metric that can measure whole data center power consumption.

"Until we have a standard measure of data center power consumption, it is doubtful that we will see changes on a widespread level," Hay said.

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