Navigating Digital Infrastructure Growth with Phillip Sandino, Senior Vice President of Utility Development at Tract
Digital infrastructure is fast becoming a strategic priority within energy transition and global competitiveness. The rapid expansion of data centres and AI computing is placing unprecedented demands on energy systems worldwide. In a recent episode of Conversations in Clean Tech, Phillip Sandino, Senior Vice President of Utility Development at Tract, shared valuable insights into the challenges and opportunities shaping this vital sector.
Digital Infrastructure as a Strategic Energy Challenge
The growth of digital infrastructure is outpacing the energy systems designed to support it. In the United States, data centre power demand is projected to grow by 15 to 20 per cent annually through 2030, adding an estimated 30 to 50 gigawatts of load, equivalent to powering several large cities. Europe is experiencing similar growth, with data centre power demand expected to increase by 10 to 15 per cent annually, particularly in Ireland, the Netherlands, and the Nordics. However, grid capacity constraints, permitting delays, and interconnection queues are creating bottlenecks that threaten to slow deployment.
Energy fluency has become a core leadership capability for companies operating in this space. Energy is no longer a mere utility service but a strategic constraint. Organisations that build in-house expertise in power markets, power systems engineering, and energy strategy are better positioned to navigate these challenges.
The Central Role of Power Systems Engineering
Managing the rapid increase in data centre loads requires deep understanding of transmission planning, interconnection processes, and utility engagement. Utilities face a steep learning curve as data centre loads in some regions exceed 1,000 megawatts. Collaborative partnerships between developers and utilities are essential to manage complex load profiles and plan infrastructure upgrades effectively.
The supply chain for high-voltage electrical equipment, including transformers, switchgear, and transmission components, is under strain with lead times extending to three or four years. Developers must demonstrate credible project plans, including entitlement, equipment procurement, and capital commitments, years in advance to secure timely grid connections. This challenge demands sophisticated power systems engineering to maintain grid stability and reliability.
Sustainable Data Centres and Master Planning
Sustainability is a fundamental consideration for modern digital infrastructure. Master planning large land aggregations with fully developed utility infrastructure, including power and water, is critical to success. The approach of “powered land”, sites where permitting, entitlement, and utility infrastructure are advanced, enables commercially viable development and reduces risk.
The rapid growth of AI-driven demand, particularly for training workloads, adds complexity. AI training currently accounts for 10 to 20 per cent of data centre capacity but its impact on the grid is still emerging, highlighting the need for sustainable data centres designed with flexibility and resilience. According to the Natural Resources Defense Council (NRDC), sustainable data centres can reduce energy consumption and emissions significantly through advanced cooling technologies and renewable energy integration, supporting energy transition.
Digital Infrastructure’s Role in Energy Transition
Digital infrastructure both enables and challenges energy transition. The energy intensity of data centres requires integration with renewable energy sources and grid flexibility solutions. Early engagement with utilities, regulators, and stakeholders is vital to align development plans with grid capacity and policy frameworks.
Companies investing in energy strategy and power systems engineering expertise can better manage interconnection queues and regulatory complexity. This proactive approach is necessary as digital infrastructure becomes one of the main stress tests for energy systems globally. The ability to deliver at scale while supporting decarbonisation goals will distinguish industry leaders.
Leadership is Where Delivery Begins
Organisations best positioned to navigate the complexity of digital infrastructure growth are those with the right leadership already in place. The technical and commercial demands of this sector require individuals who can operate across power systems, regulatory engagement, and long-term infrastructure strategy simultaneously. That combination is rare, and increasingly, it is the defining variable.
As a specialist executive search and recruitment firm focused on the energy transition, we work with organisations across clean power generation, low-carbon infrastructure, and digital infrastructure to identify and secure the leaders who can drive this agenda forward. Whether that means placing a VP of Utility Development, building out a power systems engineering function, or securing the commercial leadership needed to unlock new markets, talent is where delivery begins.
If your organisation is scaling its digital infrastructure capability and would value a conversation about the people needed to lead that growth, we would welcome the opportunity to help.
Explore our recruitment solutions
Strategic Insights for Industry Leaders
Build energy fluency internally. Develop in-house capabilities in power systems engineering, energy procurement, and regulatory engagement to navigate complex grid constraints.
Master planning is essential. Sustainable data centres require comprehensive site development strategies addressing permitting, utility infrastructure, and stakeholder alignment well before construction.
Collaborate closely with utilities. Effective partnerships informed by a deep understanding of utility challenges are critical to managing large, complex load additions.
Plan for supply chain realities. Long lead times for critical electrical equipment necessitate early and credible commitments to secure manufacturing slots and avoid costly delays.
Anticipate AI’s growing impact. Infrastructure planning must incorporate flexibility to accommodate evolving demand patterns without compromising grid stability.
Listen to the Full Conversation
The insights shared provide a practical and grounded perspective on the intersection of digital infrastructure and energy transition. For industry leaders, investors, and policymakers seeking to understand how to scale digital infrastructure responsibly and sustainably, the full episode of Conversations in Clean Tech is an invaluable resource.
Explore this episode and others in the series for expert analysis and forward-looking discussions that illuminate the path forward in energy transition and infrastructure development.
Building Leadership Capability Across the Energy Transition
Brightsmith is an executive and leadership search firm focused on the energy transition. From our London and Austin hubs, we partner with purpose-driven leaders and high-impact organisations across clean power generation, low-carbon infrastructure, clean energy investment, and adjacent markets.
Our work is grounded in a simple premise: the transition will be delivered by people. We connect organisations shaping the future of energy with the leadership required to execute at pace and scale.
We measure success not just by placement, but by long-term impact:
98.5% of retained searches result in a successful appointment
82.5% of executives appointed between 2020–2024 remain in post
96% of appointments are with repeat customers