WASHINGTON (AP) – Federal regulators on Thursday ordered regional power grid operators to help large energy users connect more quickly to the nation’s inefficient and aging power transmission system, a move they said was necessary to meet surging demand from power-hungry artificial intelligence. data center.
Energy Secretary Chris Wright called on the Federal Energy Regulatory Commission to act to make it easier for the United States to compete with China for dominance in the fast-growing energy sector. A.I. sector.
Tech companies and data center developers welcomed the opportunity for the largest energy users ever built in the U.S., including areas that consume more electricity than small cities, to quickly connect to the nation’s electricity supply.
Utilities, states and local transmission operators had worried that the Republican administration’s plan would strip them of their control over the process, but FERC said the order would leave states in control of retail electricity rates and contract terms. Clean energy advocates are asking regulators not to block state-level efforts to mandate the use of renewable energy.
The committee’s actions are as follows: Backlash against data centers grows These include concerns about using large amounts of energy and water, noise and air pollution, water shortages, and the loss of open space and agricultural land.
Unanimous vote and affordable price
FERC members voted unanimously to direct six regional transmission utilities to ensure that AI data centers and other large electricity users “are able to connect to the transmission system in a timely and orderly manner.”
Laura Sweat, the commission’s chair and appointee by President Donald Trump, called the vote “historic” and said it would move the nation’s electricity markets into the future while respecting states’ rights, protecting reliable power service and protecting ratepayers from bearing the costs of connecting large electric customers to the grid.
“We know Americans across the country are concerned about affordability, and so are we,” Wet said, referring to the five-member commission. As chairman, he said, “I take very seriously the mission entrusted to me by Congress to ensure that interest rates are fair.”
The vote came eight months after Mr. Wright called for an independent body to take more control over securing a vast network of large computing warehouses. needed to enhance AI Quickly connects to high voltage power lines.
Wright praised the committee’s actions, saying they will “remove barriers, accelerate development, and ensure America has the affordable, reliable, and safe energy it needs to power a new era of prosperity.”
Under the fee order, data centers will pay the full cost of any grid upgrades required for connectivity. But the order does little to address tight energy supplies that are causing electricity prices to soar in some areas and warning of power outages as data center construction outpaces new power plants to supply them.
Robert Montejo, an attorney representing the data centers, said the most important message from FERC’s action is that AI “fundamentally changed the power landscape. The power grid and previous policies were not built to match the pace and scale of demand we are seeing from AI infrastructure, and FERC has shown that standing still is no longer an option.”
The six regional transmission operators under this order serve 200 million Americans, representing two-thirds of FERC’s jurisdiction. Meanwhile, FERC has also called on utilities that handle regional transmission systems to participate, and analysts said FERC could eventually put pressure on utilities as well.
quest for power
Tech giants are racing to stay ahead find enough power It has been reported that some areas will take years to connect to the grid.
The Edison Electric Association, which represents investor-owned electric utilities, said FERC’s order builds on local and state processes already underway while “supporting flexibility and innovation.”
In addition to power bottlenecks, the technology industry faces a wide range of challenges. Opposition from the community Where residents don’t want to live next to or near data centers.
According to one estimate, there are currently more than 4,000 data centers operating in the United States, and an additional 3,000 data centers planned or under construction.
President Trump has sought to deflect public concerns about AI, believing that rapidly evolving technology is essential for the United States to attract foreign investment and maintain its economic and military might. He signed an executive order this month establishing a federal framework. Scrutinize national security risks cutting edge AI system Until one month before release.
In December, FERC voted to take early steps to help data center operators get power quickly and to help tech companies get power quickly. Connect your data centers effectively Thursday’s order sought to ensure that option is available across the country.
Power demand from data center
FERC asked grid operators to respond within 30 days on how they will ensure adequate power supply for new and future data centers, and within 60 days on plans to consolidate large-scale power users under the new guidelines. Swett told reporters after the meeting that he hoped the faster connection process would happen “in the shortest possible time.” She didn’t set an exact schedule.
Jeff Dennis, executive director of the Electric Customer Alliance, said FERC’s order specifically addresses large electricity users and state regulators.
Tech giants face unclear rules for connecting data centers to high-voltage power transmission systems, but states need more clarity on who pays for regional transmission projects approved at the federal level, he said.
Rob Gramlich, a Washington-based energy consultant, said states should urgently develop rules to accommodate large electricity users and prevent costs from being passed on to residential and business customers. He said FERC could assert broader jurisdiction over interconnection issues if countries do not act quickly.
Electric Power Research Institute data show Data centers currently account for about 5% of U.S. electricity demand, but that could triple by 2035.
Tech companies continue to increase spending on data center construction and equipment, but there is evidence that projects are hitting roadblocks, including slow construction, tolerated delays, growing local opposition, and bottlenecks for gas turbines, transformers, and skilled labor.
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Levy reported from Harrisburg, Pennsylvania.
