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What is behind-the-meter power?

Behind the meter, or BTM, describes where generation connects relative to a customer’s utility meter. It is a starting point for understanding a power system—not a complete description of its effects.

The Data Center Company · Updated September 21, 2026

The short answer

Power can be produced on the customer’s side of the utility meter and used there. Whether the campus also imports electricity, exports power, or can operate independently depends on its design and agreements.

Four terms worth separating

Four terms worth separating
TermWhat it tells you
Behind the meterGeneration connects on the customer’s side of the utility meter. It may coexist with a grid connection.
Co-located generationA power source and a large customer share a location or electrical arrangement. The actual connections and service obligations still matter.
MicrogridA coordinated electrical system that can separate from the wider grid and operate autonomously when designed to do so.
Islanded operationOperation while electrically separated from the wider grid. BTM alone does not establish this capability.

Sources: DOE: Distributed energy resources and microgrids · FERC: December 2025 co-location fact sheet

What happens when generation stops?

An on-site plant can require maintenance or become unavailable. A useful project explanation shows what serves the load then: other generation, stored energy, permitted utility imports, reduced computing demand, or a combination.

The key question is the maximum demand the campus could place on the grid under those conditions, and whether studies and service arrangements account for it. A diagram of normal operation alone leaves this question unanswered.

Sources: FERC: December 2025 co-location fact sheet

Ask for the whole power arrangement

  • What generates the electricity, and who owns and operates the equipment?
  • What grid imports and exports are permitted, including during outages?
  • What controls keep demand within agreed limits?
  • Who funds connections, upgrades, standby service, and other grid services?
  • Which permits, studies, and signed agreements support the description?

What BTM does—and does not—prove

BTM is an electrical arrangement. Fuel, equipment, operating hours, and emissions controls determine environmental performance; the meter location alone cannot establish it. Likewise, reliability and protection of other customers require their own evidence.

For The Data Center Company, a general explanation of BTM should be read separately from any project-specific power plan. This guide does not establish a campus configuration, operating capability, or executed supply agreement.

A question about a project?

Tell us which location or statement you’re asking about. Specific questions deserve specific evidence.

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