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Rethinking Data Center Development Through Power and Community Partnership | IRG Data Centers

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Video summary

Brian Maness, Vice President of Site Selection at IRG Data Centers, argues that the most effective strategy for developing data centers involves direct collaboration with utility companies rather than adversarial negotiations for power. Instead of simply demanding electricity, the company constructs behind-the-meter solutions paired with battery storage systems. This approach creates a mutually beneficial compromise where, during peak demand hours, the utility can draw power from the data center's microgrid and batteries to alleviate stress on the broader electrical grid, ensuring stability while meeting high energy needs. Community relations are identified as a foundational priority that must be established before any site is even evaluated. The process begins by engaging with local economic developers and residents to understand which areas genuinely need a data center, fostering a two-way dialogue where both parties share their needs and constraints. This transparency builds essential trust, as the company believes that without openness, community skepticism will persist. By welcoming community input regarding specific local needs such as new schools or parks, IRG positions itself not just as an energy consumer but as a partner invested in regional development. The partnership extends to environmental stewardship through innovative resource management, exemplified by operations in Texas where the company purchases wastewater from oil and gas drilling sites. Since this water is often contaminated during extraction processes, IRG invests in building dedicated treatment plants to clean it. A portion of this treated water is utilized for data center cooling, while the remainder is returned to the community to support local water supplies and grid infrastructure. This circular approach demonstrates how data centers can actively contribute to solving regional environmental challenges rather than merely extracting resources. Ultimately, the video concludes that successful data center development relies on a symbiotic relationship between the facility, the utility provider, and the local population. By integrating battery storage for grid support, treating industrial wastewater for reuse, and funding community projects based on expressed needs, IRG transforms the narrative around data centers from one of burden to one of benefit. The core message is that when companies open their doors and clearly communicate their operations while listening to what the community requires, they can create a sustainable model that funds essential public improvements and strengthens the local economy through shared responsibility and economic capability.
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I'm Brian Maness. I'm with IRG Data Centers. I'm the VP of site selection. We found that the best approach is to work directly with the utility company instead of trying to harass them to get power. We go out, we build a behind the meter solution, we pair it with battery storage, and we have a compromise that during peak hours the utility can pull from our microgrid and our batteries to reduce the stress on the overall grid. We think that building the community relations should always be a first in the data center. So, before we even look at a site, we reach out to the community, we meet with local economic developers, and we try to understand which area of the community would be best to deploy our data center. Once we determine which area is in need of a data center, we go out and try to build the community relationships. Everything from down in Texas, we're doing something where we're buying waste water from these gas plants because when they drill for oil, they have to pump water into the ground. That water becomes very dirty, so we're buying all of that dirty water. We're building a waste water treatment plant to treat all of that water. A percentage of that water goes to our data center for cooling, and the remainder goes back to the community [music] to support the overall grid and the water. Transparency. If you're not open with the community, they're never going to trust you. [music] But, if you open your doors and you welcome in and you say, "What is it that your community needs? Is it new schools, new parks?" Whatever it is, we have the economics to be able to fund these projects. It's just we must understand what the community needs and that's a two-way street. If they're opening up their kimono to us, we got to also tell them what we're doing.