North American Power Regulator Issues Highest-Level Alert: AI Data Center Power Fluctuations May Cause Grid Outages

The North American Electric Reliability Corporation (NERC) recently issued its highest-level (Level 3) alert, requiring grid operators to address new risks from data center connections. This is the third warning from the agency about data centers in nine months, with the alert level being Level 3, which mandates "necessary actions".

NERC points out that AI data centers are prone to sharp power fluctuations, with demand switching quickly between extremely high and low levels—occurring in seconds, leaving almost no time for real-time response, which could lead to grid outages. Additionally, cryptocurrency mining and traditional data centers also pose threats to the grid.

The agency requires operators to take immediate action and submit risk mitigation plans by August 3 to ensure grid system reliability.