Why power flow studies are the hidden bottleneck in data center growth
Slow interconnection studies and transmission hurdles curb U.S. data center expansion — but new modeling is changing the game.
As demand for data centers continues to surge — fueled by AI workloads and cloud expansion — the real challenge isn’t finding land anymore.
It’s finding power.
Across the U.S., developers are facing a mounting bottleneck: a grid system already operating at full capacity. Every new hyperscale project competes for scarce interconnection points, and traditional feasibility studies simply can’t keep up with the speed or scale the market demands.
The costly wait for answers
To understand whether a site can actually host hundreds of megawatts or a gigawatt-scale facility, developers must request a power-flow-based study. These simulate how a new large load will impact the grid. By identifying how much power can be withdrawn, as well as the physical network constraints, utilities determine the upgrade requirements and costs the developer will be saddled with in order to make sure the grid remains stable and reliable.
But these studies are time-intensive and expensive.
Traditional grid consultancies typically charge $25,000 to $50,000 per point of interconnection (POI) and take 6–8 weeks to deliver results. And that’s for just one site.
Meanwhile, most developers are screening dozens of potential sites simultaneously but are only able to evaluate interconnection potential and risk at the very end of the due diligence process. The result? Months of wasted time and resources, capital tied up, and uncertainty that ripples through the entire pipeline.
A smarter way to plan power
Data-driven modeling changes this equation.
By running utility-grade power flow studies at scale, PVcase allows developers to analyze multiple — thousands, if desired — POIs at once to model offtake capacity (available power) and upgrade costs before they even engage a utility.
Instead of waiting two months for a single consultant’s report, teams can evaluate grid opportunities in minutes to:
Find POIs with sufficient power within budget.
Conduct market analysis (evaluate historical electricity prices, basis risk analysis).
Automatically find suitable land with enough buildable acreage close to fiber routes and pipelines.
All in a single workflow.
As PVcase Head of Business Jake Anderson explained on the Data Center Sales & Marketing Institute (DCSMI) podcast, this approach doesn’t just make grid data more transparent — it creates new data entirely.
“We run the same type of modeling that utilities use to evaluate interconnection requests,” Jake said. “So our users can see what will likely happen before they submit their study.”
Bridging the knowledge gap
Beyond speed, there’s a growing expertise gap in the market.
Interconnection modeling requires advanced engineering skills, and many developers don’t have transmission planners in-house.
Solutions like PVcase help bridge that gap — combining geospatial intelligence and high-quality grid modeling into intuitive platforms that help developers screen sites, prioritize interconnection points, and forecast upgrade costs without hiring a team of consultants.
From bottleneck to acceleration
The power challenge is reshaping how projects are planned — and who wins the race to build them. For developers, the ability to simulate interconnection scenarios before submitting to the utility isn’t just about saving time. It’s about strategic advantage.
The most competitive teams will be those who can screen 100 sites, narrow them down to 10, and invest only in the few that are truly viable.
That is what data-centric development now means: less guesswork, more grid intelligence, and faster go/no-go decisions. And as the energy transition accelerates, this mindset will only become more valuable.
The convergence of AI, renewables, and digital infrastructure has made grid capacity the new real estate.
As Jake noted on the DCSMI podcast, “We’re entering an era where finding good land isn’t enough — you need to find the right grid connection to power it.”
Ready to accelerate your next project?
Discover how PVcase enables developers to assess land, grid, and fiber in one platform — and cuts months off your site evaluation process.