Balance the Swedish Transmission System by Using Data Centers : A Study Whether UPS-systems Can Operate as Frequency Regulators

Abstract: The energy market is facing a switch-over where future energy systems will rely more on renewable energy sources. These intermittent energy sources will increase the demand for new regulation methods to maintain the power balance in the grid. The purpose of this report is to investigate the ability of data centers to balance the power supply and demand in the Swedish transmission system by using data centers’ UPS-systems. UPS (Uninterruptable Power Supply) systems are intended to ensure stable and reliable power at all times. The data centers are evaluated by calculating the capacity of the UPS-systems. Furthermore, the report examines the challenges and opportunities that concerned actors will come across if this new regulation method is implemented. The incentives regarding future financial revenues for data centers and business opportunities for manufacturers are also examined.    Linear regression is chosen as the method of determining the capacity. The results show that the total aggregated capacity is 82.46 MW. The revenue that data centers would earn by operating as regulators is 143 000 SEK/MW per year if they regulate a quarter per hour. Furthermore, the results inspire to a discussion whether frequency regulation is suitable for data centers. To use UPS-systems for something other than their main purpose of ensuring stable power should be well motivated and be completely risk-free. The results show that it is uncertain whether the UPS-systems are able to provide the required power without risking complete discharge, which could lead to a financial disaster if a power failure occurs.