← All glossary terms

Utility Rates, Grid, and Markets

Distribution utility

Distribution utility owns or operates lower-voltage delivery facilities serving end users. For data centers, the distribution utility may handle service requests even when transmission upgrades or wholesale supply issues drive the real constraint.

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Middle mile

Middle mile is regional network infrastructure connecting local access networks to long-haul backbones or major exchange points. Powered-land sites far from dense fiber markets may need middle-mile upgrades to become viable.

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Step-down transformer

A step-down transformer reduces voltage from a higher utility or distribution level to a lower facility voltage. Data center projects may use multiple transformation stages from transmission or sub-transmission down to medium-voltage and low-voltage distribution.

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Powered shell

Powered shell is a partially completed data center building or structure with major power and connectivity provisions but without the full tenant-specific interior fit-out. It can accelerate delivery if power is real, but users must inspect what equipment, approvals, and capacity are actually included.

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