Grid-aware siting helps large electricity users identify locations where existing or planned power system capacity can accommodate their demand with less reinforcement and potentially shorter connection timelines. Network operators can publish geographically detailed information on available supply capacity, substations, voltage levels and areas where new demand may be accommodated more readily, allowing developers to incorporate grid conditions into site selection before submitting a connection request.  

Governments and system planners can go further by coordinating the location of electricity-intensive activities with regional generation, network capacity and other infrastructure, guiding new demand toward areas where the power system is better positioned to serve it. This matters because identical loads can have very different system impacts depending on where they connect: locating demand near available capacity can improve utilization of existing infrastructure, while locating it behind a constraint may trigger additional network investment. 

Effective implementation therefore depends on sufficiently current and granular network information, coordination between electricity and spatial or industrial planning, and clear processes for translating indicative capacity into connection decisions. As electricity demand from large loads grows, location can become an important determinant of connection cost, timing and wider network requirements.  

Main Outcomes of the Solution 

• Institutional Efficiency & Transparency: Greater visibility of locational capacity helps developers and system planners make more informed siting and infrastructure decisions.  
• Affordability: Improved use of existing network capacity can reduce connection and reinforcement requirements.  
• Sustainability: Coordinating large loads with areas of abundant low-carbon generation can support greater use of clean electricity and reduce geographic mismatches between supply and demand. 

Key Deployment and Scaling Factors 

1. Capacity information must be current and sufficiently granular for large-load siting decisions. 
2. Network and spatial planning need to be coordinated before developers commit to locations. 
3. Published capacity should clearly distinguish indicative information from guaranteed connection availability. 
4. Generation and network availability should be considered together when guiding electricity-intensive demand. 
5. Regular updates are needed as new connections and network developments change available capacity. 

Case Study 

Japanese Transmission and Distribution Utilities (2025), Japan 

Japan's electricity network operators publish Welcome Zone Maps to help large electricity users identify areas where new demand may be accommodated more readily. Japan's Seventh Strategic Energy Plan identifies these maps as a means of guiding large-scale demand, including data centers, toward locations where electricity supply can begin earlier and calls for greater coordination between network operators, local authorities and other institutions in planning for large new loads.  

Individual network operators provide geographically specific information. TEPCO Power Grid, for example, publishes supply headroom for demand customers at 66 kV and 154 kV, while transmission and distribution utilities across Japan provide their own Welcome Zone Maps or information on candidate areas for large-scale demand. TEPCO notes that published headroom can change as network conditions and new demand evolve and that actual connection timelines depend on factors including required reinforcement and local construction conditions. The maps therefore provide an early locational signal rather than a guarantee of connection capacity or timing. 

The approach gives developers greater visibility of network conditions before selecting a site while providing a mechanism for guiding new electricity-intensive investment toward locations where the network may be better positioned to accommodate it. 

National Development and Reform Commission (2022), China 

China launched its East Data, West Computing program nationally in February 2022 to coordinate the geographic development of data centers and computing capacity across regions with different resource and infrastructure conditions. Led by the National Development and Reform Commission alongside other central government bodies, the program established eight national computing hub nodes and 10 national data center clusters.  

Several hubs are in western regions, including Inner Mongolia, Guizhou, Gansu and Ningxia, where energy and other resources are comparatively abundant. The program is designed to direct suitable computing activity toward these regions while considering factors including energy supply, climate, data transmission requirements and existing infrastructure. National Development and Reform Commission materials also identify increased use of renewable electricity as one rationale for greater data center development in western China.  

By the end of March 2024, the 10 clusters contained more than 1.46 million standard server racks. According to China's National Data Administration, green electricity utilization at some advanced data centers had reached approximately 80%. The program demonstrates a broader form of coordinated spatial planning in which the location of electricity-intensive computing infrastructure is considered alongside energy supply, climate, connectivity and other infrastructure rather than being determined solely by where digital demand originates. 

References:

1. Strategic Energy Plan | Ministry of Economy, Trade and Industry, Japan  
2. Welcome Zone Map | TEPCO Power Grid  
3. East Data, West Computing Project | National Development and Reform Commission  
4. National Data Administration High-Quality Development Briefing | State Council Information Office