← All glossary terms

Power Fundamentals

kW

Kilowatt is a measure of real power: the rate at which electrical energy is actually converted into useful work or heat. In data centers, kW is commonly used for IT load, rack load, generator output, and billing demand, but it does not include reactive power effects.

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REC

Renewable Energy Certificate represents the environmental attribute of one MWh of renewable generation. RECs can support renewable claims, but they are not the same as physical deliverability, hourly carbon matching, or local grid decarbonization.

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Municipal utility

Municipal utility is owned by a city or local government. It may offer local responsiveness and different governance, but large-load service can still depend on wholesale power supply, transmission access, and regional grid constraints.

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Liquidated damages

Liquidated damages are pre-agreed monetary remedies for specified failures such as late delivery. They need careful drafting because enforceability, caps, exclusions, and relationship to service credits can vary.

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