What Fleet Electrification Can Learn from Data Centre Infrastructure
Fleet electrification is creating a new category of energy infrastructure, one that has more in common with data centre development than conventional public EV charging. Commercial fleets and autonomous vehicles require access to substantial electrical capacity, reliable charging operations, and infrastructure that can accommodate increasing utilisation without compromising performance.
Operators must secure suitable land, navigate utility connections, establish financeable commercial arrangements, and maintain the uptime required to support time-sensitive transport operations.
In Episode 2 of Season 10 of Conversations in Cleantech, we spoke with Neha Palmer, Co-Founder and CEO of TeraWatt Infrastructure, about how lessons from data centre development are informing the next generation of fleet charging infrastructure.
Drawing on her experience in utility engineering, structured finance, and Google's global data centre energy strategy, Neha explained why scalable electrification depends on treating charging hubs as long-term infrastructure assets rather than collections of individual chargers.
Jump To:
- Why Fleet Charging Needs a Data Centre Infrastructure Model
- Power Availability and the Challenge of Development Timelines
- Future-Proofing Technology Strategy
- Investment, Grid Optimisation and Renewable Integration
- Key Strategic Insights
- Listen to the Full Conversations
- Building Leadership Capability Across Energy and Infrastructure
Why Fleet Charging Needs a Data Centre Infrastructure Model
Public EV charging generally serves individual drivers whose charging behaviour and utilisation levels can be difficult to predict. Commercial and autonomous fleets operate under different conditions, requiring charging infrastructure that can support substantial, recurring electricity demand within tightly defined operational windows.
Freight hubs need proximity to logistics centres and established transport corridors, while autonomous vehicle infrastructure typically requires locations close to concentrated urban demand. Despite these differences, both depend on having suitable land, sufficient electrical capacity, and reliable operations.
TeraWatt operates against service level agreements (SLAs) that establish reliability expectations. Although these are not as demanding as those associated with data centres, there are several underlying similarities:
Infrastructure performance directly affects customers' operations: For Neha, uptime is particularly important. A failed charging session can disrupt vehicle availability, logistics schedules, and commercial operations.
Financing and long-term customer commitments: Data centre developers have established models based on infrastructure ownership, contracted demand, and long-term customer relationships. Fleet charging can adopt comparable structures, particularly where identifiable commercial customers provide greater utilisation certainty than conventional public charging.
Ownership and operating models: Both sectors require substantial upfront investment in land, electrical infrastructure, and specialist equipment. TeraWatt's model combines ownership of these assets with contracted customer relationships, allowing fleet operators to convert significant capital expenditure into ongoing operating costs while concentrating investment on vehicles and transport operations.
Investment certainty and risk management: Institutional investors require confidence in asset quality, contractual arrangements, technology performance, and long-term revenues. Neha's experience in structured finance reinforces the importance of credible assets, financeable contracts, and proven technology in attracting infrastructure capital.
Operational reliability and maintenance: High-uptime infrastructure requires more than reliable equipment. Both sectors depend on monitoring systems, preventative maintenance, supplier accountability, and the technical capability to identify, and resolve faults before they significantly affect customers.
TeraWatt's US$1 billion capital raise in 2022 demonstrated how an emerging charging infrastructure business could be positioned around an investment model familiar to institutional capital providers.
Episode 2 with Neha Palmer explores how lessons from data centre infrastructure can inform the financing and operation of charging hubs for commercial and autonomous vehicle fleets.
Listen to Episode 2Power Availability and the Challenge of Development Timelines
The parallels with data centre development become particularly apparent when it comes to securing power.
A fleet charging site may satisfy commercial location requirements but remain unviable if sufficient electrical capacity cannot be secured within the required timeframe. Neha describes a typical development timeline as 18 to 24 months, with utility connections accounting for a significant proportion of that period.
Because projects require land acquisition, zoning, permitting, utility coordination, and construction before operations can begin, there can be an issue of timing. Vehicle technology and commercial demand may advance faster than the infrastructure needed to support them.
Neha points to the increasing maturity of autonomous vehicles, particularly in US markets where commercial services are becoming established. As AI supports faster development and geographic expansion of autonomous driving systems, demand for suitable charging hubs could increase further.
For infrastructure developers, that makes forward planning essential. Securing land and engaging utilities early can create an advantage, but commitments must remain grounded in realistic connection schedules, and in customer requirements.
Future-Proofing Technology Strategy
Charging hardware continues to evolve while infrastructure assets are intended to operate for many years. TeraWatt's response is to remain hardware-agnostic but selective. Rather than depending on one manufacturer, the business evaluates suppliers against reliability requirements, spare-parts availability, maintenance procedures, and their ability to respond to faults. Then its proprietary software provides visibility across its charging network. This allows the business to retain flexibility over hardware choices without relinquishing control of operational performance.
Future-proofing also extends to physical infrastructure. As Neha explains, TeraWatt installs additional underground capacity to accommodate future charging upgrades, including the anticipated expansion of megawatt charging. The company is also evaluating solid-state transformers and battery integration, with testing conducted at its Southern California facility.
These technologies could improve power conversion efficiency and help manage electricity requirements at larger sites. However, their value depends on demonstrated performance, integration costs, and compatibility with operational requirements.
The objective is not to adopt every emerging technology, but to avoid designing infrastructure that becomes unnecessarily difficult or expensive to upgrade.
Investment, Grid Optimisation and Renewable Integration
Wider discussions across Season 10 provide additional perspectives on the energy systems that will support fleet electrification.
In Episode 5, Sofie Käll and Anna Søndergaard of The Footprint Firm explore investment in technologies that improve infrastructure efficiency, highlighting opportunities for innovation in power distribution, charging equipment, and energy management.
In Episode 8, David Miller, Chief Commercial Officer at Gridmatic, discusses AI-driven energy optimisation, which could help fleet charging operators manage electricity costs, battery storage, and charging schedules without compromising vehicle availability.
In Episode 9, John Belizaire, Founder and CEO of Soluna, explores renewable energy integration models that offer lessons for fleet charging hubs, particularly around combining renewable power, battery storage, and energy management to improve site economics.
Key Strategic Insights
Successful fleet electrification requires coordinated decisions across capital, power, technology, and operations. Several conclusions emerged from our conversation with Neha:
Fleet charging is infrastructure, not simply hardware
The commercial value of a charging site depends on the relationship between location, available power, contracted demand, and operational reliability. Developers should assess these factors together from the outset, rather than treating them as separate decisions.Bankability requires predictable utilisation
Long-term fleet contracts make charging infrastructure attractive to institutional investors, but utilisation does not guarantee bankability. Investors need to understand who carries construction, technology and operating risks, how revenue is secured, and whether contractual commitments justify the capital expenditure.Power availability influences expansion
Utility connection timelines can be longer than vehicle deployment schedules, creating a risk that charging capacity is unavailable when fleets need it. Early engagement with utilities, realistic power availability assessments, and phased site development can help operators avoid committing to expansion plans that infrastructure cannot support.Uptime must be designed into operations
Fleet charging operators need clear supplier responsibilities, remote monitoring, preventative maintenance, and effective fault response. These capabilities should be reflected in procurement decisions and SLAs, particularly where charging interruptions directly affect vehicle availability, and revenue.Future-proofing protects asset value
Reserving capacity for future upgrades can be more economical than redesigning an operational site. However, emerging solutions such as megawatt charging, and solid-state transformers should be assessed against expected fleet requirements, technology maturity, and the financial case for adoption.Energy optimisation offers opportunities, not universal solutions
Storage and flexible charging can manage electricity expenditure and peak demand. Their commercial value depends on site-specific tariffs, grid constraints, and charging schedules. Operators should evaluate these options during site planning rather than assuming they can be added later without affecting infrastructure design or costs.
Listen to the Full Conversations
Hear more from our contributors in Season 10 of Conversations in Cleantech. This season explored the growing intersection of energy and infrastructure markets, and how digital energy infrastructure is being financed and operated.
You can also continue the conversation in Season 11, where we explore the talent equation behind the energy transition, from workforce strategy and leadership, to building the teams needed to support growth.
Building Leadership Capability Across Energy and Infrastructure
Fleet charging developers and data centre operators are competing for overlapping technical and leadership expertise. At Brightsmith, our work across energy, infrastructure, investment, and advisory markets provides visibility into these intersecting talent requirements.
We support organisations in identifying executives, technical specialists, and project leaders with the capabilities required to develop complex infrastructure and operate it reliably.
