California produces lots of renewable energy. More than the state can sometimes use.
Researchers have offered varying ideas for what to do with this “curtailed” energy. Next 10, a nonpartisan nonprofit centered on innovationaround environmental and economic issues, has proposed siting data centers near renewable energy farms and timing high-energy computations to the generation of surplus renewable energy.
Industrious Labs, a climate nonprofit based in Ohio, has suggested powering the numerous industrial activities in areas like the California Central Valley with renewable energy.
“There’s a lot of opportunity to put curtailed renewable energy to work, and while data centers are certainly part of the conversation, we believe the bigger opportunity lies in industrial applications that deliver broader public benefits, particularly for communities in the Central Valley,” Teresa Cheng, Industrious Labs’ California director, said in an email.
Next 10 recently released a report exploring the scope of curtailed renewable energy in California, and what to do with it. The reasons for curtailment are numerous, and are generally due to imbalances with supply, demand and the capacity to deliver the energy to where it’s needed.
Some 3.4 terawatt-hours of renewable energy were curtailed in California in 2024, enough to power about 500,000 homes, according to the report, “Curtail to Compute: Siting Datacenters to Leverage California’s Stranded Renewable Energy.” This was a 29 percent increase from 2023 curtailment levels.
