Financial Services Power & Renewables

Time-to-power gap: Big generation’s Achilles’ heel in the AI data center race

Delayed grid infrastructure and turbine backlogs leave immediate power demand unmet

byJon Haubert

CALGARY, Alberta (May 27, 2026) — Enverus Intelligence® Research (EIR), a subsidiary of Enverus, the leading energy data analytics platform, has released its latest report, Time to Power | Big Generations’ Achilles’ Heel, highlighting how speed-to-power constraints are reshaping competition to supply electricity for AI-driven data centers.

EIR finds that distributed power solutions can be deployed two to three times faster than large-scale gas turbine infrastructure, positioning these systems to meet near-term demand that traditional grid-connected generation cannot satisfy due to transmission and interconnection delays.

As hyperscale data center developers prioritize faster access to electricity over lowest-cost generation, the report identifies a structural shift in power procurement strategies. Large equipment manufacturers face a combined backlog exceeding 125 GW, with delivery timelines extending toward the end of the decade, limiting their ability to respond to immediate demand.

“The defining constraint in the current power market is no longer cost, but time. As data center demand accelerates, solutions that can deliver power faster are positioned to capture opportunities that traditional infrastructure cannot meet in the near term,” said Carson Kearl, senior analyst at Enverus Intelligence Research.

The report highlights how distributed and modular power systems can bypass key bottlenecks associated with centralized generation, including multiyear equipment lead times and regulatory hurdles tied to grid interconnection. This dynamic is enabling a broader set of providers to compete in the power market by delivering electricity directly at or near demand centers.

Key takeaways:

  • Distributed power solutions can be delivered 2x–3x faster than large-frame gas turbines
  • Turbine OEM backlogs exceed 125 GW, constraining near-term supply availability
  • Hyperscalers are prioritizing speed-to-power over lowest-cost electricity
  • Grid interconnection and transmission delays remain critical bottlenecks
  • Power-exposed service providers trade at ~8x EV/EBITDA versus >20x for OEMs, highlighting a valuation gap

EIR’s analysis pulls from a variety of products including Enverus ONE™.

You must be an Enverus Intelligence® Research subscriber to access this report.

EIR research reports cannot be distributed to members of the media without a scheduled interview. Journalists interested in learning more about this analysis are encouraged to use our Request Media Interview button to schedule a time to meet with one of our expert analysts, who can provide context, insight, and deeper discussion of the findings.

About Enverus Intelligence® Research
Enverus Intelligence ® | Research, Inc. (EIR) is a subsidiary of Enverus that publishes energy-sector research focused on the oil, natural gas, power and renewable industries. EIR publishes reports including asset and company valuations, resource assessments, technical evaluations and macro-economic forecasts; and helps make intelligent connections for energy industry participants, service companies and capital providers worldwide. Enverus is the most trusted, energy-dedicated SaaS company, with a platform built to create value from generative AI, offering real-time access to analytics, insights and benchmark cost and revenue data sourced from our partnerships to 95% of U.S. energy producers, and more than 40,000 suppliers. Learn more at Enverus.com.

Picture of Jon Haubert

Jon Haubert

Jon Haubert is the communications director at Enverus. Members of the media should use our Request Media Interview option on the Enverus Newsroom page to schedule an interview with one of our expert analysts.

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