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How the Data Center Boom Across the US Affects Electrical Safety for Workers

Written by Drew Allen | Jun 10, 2026 6:30:00 PM

The U.S. is currently experiencing a boom in data center construction, with most new centers concentrated in just a few states. At these data centers, equipment is running hotter and drawing more power than ever before. This increased power usage has major implications not only for local electrical grids, but also for the safety of those working with highly energized equipment at these facilities.

Three forces are converging inside modern data centers. Rack densities have climbed from the single-digit kW range a decade ago to 40–80 kW for AI workloads. Some new builds are targeting even higher power consumption. Uptime pressure has tightened to the point that every minute of unplanned downtime carries significant cost. And the equipment doing the work is more compact and more energized than ever. Together, these shifts are changing how data centers approach electrical safety and maintenance, especially for the technicians who service this equipment.

A new report by Grace Technologies investigates where data center growth is happening, the amount and cost of electricity they’re using, and what this means for electrical safety in the data center industry.

 

Key Takeaways

  • Data center construction spending rose from about $1.64 billion per month in January 2014 to about $42.48 billion per month in October 2025 (nearly a 25-fold increase). Most of this growth has occurred in the past few years, increasing from $27.3 billion/month in 2022.
  • Facilities are highly concentrated in just a few states, with the top two (Virginia with 570 and Texas with 394) having more than the next four highest states combined.
  • Rising electricity prices increase the pressure to limit expensive downtime. The pressures are even higher in states, such as California, which have both high electricity prices and a high concentration of data centers. It's also significant in states like Nevada and New Mexico, which have few centers, but relatively high power usage per center, due to the greater cooling demands in hot climates.
  • In response to higher rack densities and tighter uptime demands, datacenter providers are reshaping how they handle electrical safety, with more focus on testing equipment without opening live panels, catching problems before they cause outages, and reducing the time technicians spend near energized gear.

Grace Technologies’ new report, Electrical Safety in Data Centers: What’s Changed and Why It Matters links this rising density to a noticeable evolution in safety practices:​

    • More reliance on engineered solutions (like thru-door devices that let technicians verify electrical conditions without opening cabinets) instead of relying primarily on safety protocols and personal protective equipment (PPE).
    • Increased emphasis on the hierarchy of controls in line with NFPA 70E Standard for Electrical Safety in the Workplace to reduce exposure to arc‑flash hazards (when current escapes its intended path) and shock risk.
    • Growing use of continuous thermal and electrical monitoring to catch issues before they become outages.

A Handful of States Now Use Most Data Center Power 

There are between 4,000 and 5,400 data centers in the US, depending on the source. Electric Choice estimates that these facilities now consume roughly 200 TWh of electricity per year, about 4-5% of total U.S. electricity consumption.

Wherever load concentrates, the work of servicing energized equipment concentrates with it. That has direct implications for the electrical safety practices inside these facilities, which we return to below.

When we organize these data centers by state and the amount of power they consume, three patterns emerge:

  • A small group of states dominates facility counts. Virginia, Texas, and California each host hundreds of data centers.​
  • A high concentration of facilities leads to higher load on the power grid. Number-one Virginia uses about 23 TWh per year, while number-two Texas uses about 16 TWh.
  • Some states have fewer data centers, but a high load per facility. Power usage per location is relatively high at the small number of facilities in states like Nevada and New Mexico

Power Cost Isn’t The Only Factor For Where To Build 

Now that we’ve covered the load on the power grid in each state, the next step is to look at how expensive electricity is in places with lots of data centers.

Electricity prices vary by more than four-to-one between the cheapest and most expensive states:

  • Highest‑price states (All Sectors, Nov 2025):
    • Hawaii: 35.82 cents per kWh
    • Massachusetts: 25.91 cents
    • California: 25.89 cents
    • Rhode Island: 25.69 cents
    • Connecticut: 23.58 cents​
  • Lowest‑price states (All Sectors, Nov 2025):
    • Louisiana: 9.09 cents​
    • Oklahoma: 9.03 cents
    • New Mexico: 8.87 cents
    • Iowa: 8.82 cents
    • North Dakota: 8.24 cents per kWh

When we compare this with our data from before, we can identify three distinct groups:

    • High‑load, moderate‑price hubs. States like Virginia pair high annual data center load with cents per kWh in the mid teens.
    • High-load, high-cost hubs. Despite some of the highest electricity prices nationwide, states like California still attract large, dense facilities, likely due to a skilled local workforce and proximity to their customers.
    • Low-cost states with few data centers. States like North Dakota have very low electricity prices, but few data centers, suggesting potential for new construction in these states.

What This Means for Electrical Safety  

Much of the data center boom is driven by AI and other GPU-heavy tasks. Industry analyses show that this is leading to higher rack densities, the amount of power used by a single server rack.

At lower rack densities, the consequences of an electrical incident during maintenance were severe but contained. At 40 to 80 kW per rack, the math shifts. Higher fault current means more incident energy released during an arc flash event, which translates to heavier required PPE, larger arc flash boundaries, and longer recovery times when something goes wrong. The exposure profile of energized work is changing along with the equipment.

This is part of what is pushing the industry toward closed-door diagnostics. The 2024 edition of NFPA 70E reinforced that elimination and substitution sit above administrative controls and PPE in the hierarchy of controls. In practice, that means designing workflows so technicians do not have to open an energized panel in the first place. Permanently installed test points, thru-door voltage indicators, and remote verification methods let workers confirm conditions without removing barriers between themselves and live equipment.

Predictive monitoring extends the same logic across time. Continuous thermal and electrical monitoring tools watch for the early signals of degradation, including loose connections, overheating components, and abnormal load patterns. The goal is to catch issues before they require emergency intervention. For high-density AI workloads, where a single rack can draw more power than entire legacy aisles, the cost of missing an early warning is significantly higher than it was a decade ago.

These safety trends have various implications for the data center industry:

    • In states with both high facility counts and high power loads, even incremental reductions in the time technicians spend inside open panels adds up to substantial savings across hundreds of data centers and thousands of maintenance interventions every year.
    • In high-cost states, each minute of downtime is more expensive due to the high price of wasted power.
    • Meanwhile, emerging low-price hubs have the opportunity to build in safer, closed-door workflows from day one, rather than retrofitting later.

 

Methodology

This study combines three categories of evidence to connect macro growth in data center development with state-level concentration, electricity-cost dispersion, and the operational implications for safety and maintenance. It provides a consistent, state-comparable view of where load is concentrating and what the power-cost environment looks like in those markets.

Construction spending: Census “Value of Private Construction Put in Place”

We used the data center line item from the U.S. Census Bureau’s “Value of Private Construction Put in Place” series, which provides a monthly national time series. Values were cleaned into a date-indexed series and used to describe the scale and persistence of the construction ramp from the mid-2010s through 2025. This series supports the macro claim that data center building has become structurally larger and more continuous than in prior cycles.

Facility counts and estimated annual data center consumption (TWh)

State-level facility counts were aggregated from a Data Center Map dataset and paired with state-level annual consumption estimates in TWh from Electric Choice. Where multiple published facility-count sources differ, the analysis treats facility counts as a footprint proxy rather than a definitive enumeration, and it uses TWh estimates to represent operational scale more directly. Derived metrics such as TWh per facility were computed to identify states where load appears concentrated into fewer, larger, or more power-dense sites.

Electricity prices: EIA state series

Electricity price data was sourced from the US Energy Information Administration state-level “All Sectors” price series. November 2025 was used as the primary snapshot to represent the current power-cost environment, with November 2024 included to provide year-over-year context. Prices were cleaned to a consistent numeric format in cents per kWh and joined to the state facility/load table by state name.

Joining, derived fields, and interpretation

We joined facility counts, estimated annual consumption in TWh, and electricity prices into a single state-level dataset. We then computed simple derived fields to support interpretation and visualization, including:

  • TWh per facility to proxy power density or average facility scale
  • Optional cost proxies such as TWh × price to highlight where large loads intersect with higher electricity costs

The results were interpreted using comparative rankings and a “money chart” scatterplot framework: x-axis electricity price, y-axis estimated annual TWh, bubble size facility count. This provides a compact way to distinguish high-load hubs, high-price strategic markets, and lower-price emerging markets, and to tie those segments back to the operational argument that higher density increases the payoff from safer access practices and predictive monitoring.

 

Navigating the Future of Data Center Safety 

As rack densities scale, traditional safety protocols are no longer enough to protect your team and uptime. High-density power demands a shift to engineered solutions like continuous monitoring and closed-door diagnostics.

To explore these challenges further, watch the full webinar recording on demand—High Density, High Stakes: Electrical Safety in the Modern Data Center—featuring Jim Phillips, P.E., BScEE, IEEE Life Sr. Member, MIET, P.E. of Brainfiller and Grace Technologies CEO Drew Allen

 

 

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