Federal regulators have signed off on a plan for a power pool in the central and western U.S. to place data centers and other large electricity loads on a faster track to a grid connection.
The plan from the Arkansas-based Southwest Power Pool would set up an expedited 90-day review process for large loads that agree to either bring their own electricity generation or pair with current or planned generation. SPP officials say the plan would ensure that tech companies serious about building data centers for artificial intelligence would take steps to ensure electric reliability and keep costs down for other ratepayers.
SPP, the regional transmission operator serving parts of 14 states across the central and western U.S., has seen a steep rise in requests to bring on large loads of more than 100 megawatts. In 2022, the operator had roughly 11,000 MW of large loads awaiting interconnection, although that dropped to 6,000 MW just two years later. SPP has said that could be the result of a slow study process.
Overall, SPP has warned that its peak load could jump from 56,000 MW in 2025 to as much as 105,000 MW by 2035. That’s raised concerns about whether members could bring on enough power to meet rising demand.
