Power failures also occur sometimes when the issue is on the wrong side of where power is distributed - we've lost power to our servers when maintenance has gone wrong for example.
I thought major data centres had redundant power from the grid too (not just battery and generator), so the UPS smooths the power transition as the switching gear fails over to the alternate grid connection; then generators come up if that fails too? Is that considered over-engineering?
Components inside the DC should be redundant, but the customer can decide whether to have dual power feeds from redundant areas of the DC provided to their rack/cage.
Even with all this, issues do happen, Telecity had a very high profile and prolonged issue at the end of last year that affected AWS & Azure amongst others: http://www.theregister.co.uk/2015/11/18/telecity_outage_fix_...
Perhaps I am being naive, but I thought data centers had back-up power to cover this exact problem? I.e. battery power until the generators kick in... or is this how it used to be done and these days no one bothers and just relies on fail-over to other sites????