Majority of data centre businesses confident in their energy strategie

A significant 85 percent of UK data centre businesses report confidence in the cost-effectiveness, reliability, and environmental sustainability of their energy strategies, according to research conducted by True, powered by Open Energy Market. The findings, detailed in a new whitepaper, ‘Mind The Gap: From Ambition To Action’, explore the commercial imperatives driving energy procurement and sustainability strategies among UK businesses.

While many organisations report high confidence in their current strategies, underlying challenges threaten to undermine these efforts, exposing a risky “set and forget” mentality that could have significant implications for hindering commercial benefits as well as the future of the UK’s sustainability efforts.

Almost all UK data centre businesses (89 percent) believe they are prepared to tackle challenges such as energy market volatility and tighter environmental regulations within the next 12 months.

Despite this reported confidence, there is a concern that businesses may be overestimating their readiness, leading to complacency and missed opportunities for optimisation. For example, this overconfidence is contrasted by the 31 percent of data centre businesses reporting integration of new data-led technologies within existing systems is a significant hurdle.

Brand reputation and public image has also been identified as a key concern by four in ten (41 percent) data centre businesses, much higher than the overall national average (27 percent) for UK businesses.

Chris Maclean, CEO, True, powered by Open Energy Market, comments: “This shouldn’t be about competing priorities; it’s about recognising that sustainability can drive commercial benefits. As part of a high-visibility, energy-intensive industry, data centre businesses need to shift their perspective to see sustainability as a pathway to commercial gain, or they risk losing competitive advantage, missing out on big tech or corporate tenders, and falling behind in an evolving market landscape where sustainability is increasingly tied to business success”.

Plus, data centre businesses report common challenges for implementing sustainable energy practices. These include limited availability of renewable energy sources (29 percent), financial constraints (25.5 percent), followed by extended timelines for approval and decision-making processes and operating in silos with fragmented net zero plans (23.5 percent). These obstacles underscore the need for streamlined processes and better access to expertise to drive effective sustainability initiatives that enhance commercial performance.

The introduction of new technology to monitor and improve energy usage is a prominent strategy, adopted by 43 percent of data centre organisations. However, from a strategic standpoint, the survey reveals a complex landscape of decision-making authority over sustainable energy strategies. The data centre industry is in a unique position compared to the rest of the sectors surveyed (Food and Drink, Manufacturing, and Hospitality), where Heads of Sustainability edge out CFOs as the final sign-off authority (41% percent versus 13 percent).

Still, almost half of data centre organisations (45 percent) report a 4-6-month timeline for signing off energy and sustainability projects, with 23 percent taking 7-9 months. Lengthy approval processes may hinder timely implementation of crucial initiatives.

Moreover, the research reveals limited evaluation methods for sustainable energy transition action plans. Only 17 percent of data centre organisations track and analyse energy consumption data, and similarly few review compliance with environmental regulations (17.6 percent) or compare performance against industry standards (15.6 percent).

True provides a comprehensive solution to these challenges. By unifying energy procurement and net zero strategies in one platform, True empowers businesses to make data-driven decisions and build stronger financial grade business cases for their sustainability initiatives.

Chris Maclean adds: “There is a startling paradox within UK data centre businesses: high confidence in energy strategies coexists with significant gaps that need urgent attention. While many feel prepared for market challenges, the reality is that navigating the complexities of the energy landscape requires more than just confidence and ambition – it requires action. Businesses need to actively engage with specialists and adopt robust evaluation methods to optimise their energy and sustainability strategies effectively. By taking these steps, companies can not only address the gaps but carve a commercially competitive path to net zero, ensuring they are resilient, compliant, and truly sustainable in the long term.”

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