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Utility Dive•22 days ago

Grid operators making ‘significant progress’ on generator interconnection reform: AEU

•Grid operators are reporting 'significant progress' in reforming generator interconnection processes.
•Advanced Energy United (AEU) states there is no current evidence that interconnection requests are being processed more quickly.
•The continued slow processing of interconnection requests directly impacts project timelines for developers and access to new power for large consumers.

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Utility Dive•about 1 month ago

Connecticut AG, agencies ask FERC to cut Eversource, Avangrid RTO adder

•Connecticut's Attorney General and state agencies have filed a complaint with FERC to remove a 0.5% Return on Equity (ROE) adder for Eversource and Avangrid within ISO New England.
•The complaint argues that a new state law mandating these utilities' participation in ISO-NE renders the incentive-based RTO adder, designed to encourage RTO membership, obsolete.
•If FERC approves, this action could lead to a marginal reduction in transmission costs for large power consumers and IPPs in Connecticut, while signaling increased regulatory scrutiny on utility cost recovery mechanisms in the region.

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Utility Dive•about 1 month ago

Appeals court upholds FERC decision ordering refunds from MISO transmission owners

•A federal appeals court upheld FERC's authority to order multi-year refunds from transmission owners, stemming from a MISO case.
•This ruling strengthens FERC's oversight of transmission rates, potentially leading to lower or more stable transmission costs for large power consumers and developers.
•The decision sets a precedent with potential ramifications for transmission owners in other regions, including New England, indicating broader regulatory scrutiny of transmission charges.

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Utility Dive•about 1 month ago

FERC approves PJM fast-track review for ‘shovel-ready’ power projects

•PJM has received FERC approval for a new fast-track interconnection review process.
•This expedited process is open to 'shovel-ready' projects of at least 250 MW that can achieve commercial operation within three years.
•PJM will accept up to 10 interconnection requests annually for two years under this accelerated pathway.

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Utility Dive•about 1 month ago

FirstEnergy asks FERC to require data centers to pay for transmission interconnection costs

•FirstEnergy has proposed to FERC that data centers and other large loads be directly responsible for their transmission interconnection costs.
•The proposal adopts a cost allocation practice from the gas pipeline sector, potentially shifting significant infrastructure costs directly to large load developers.
•This regulatory change, if adopted, could substantially increase the upfront capital expenditure and overall project economics for new data centers and similar large energy consumers.

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POWER Magazine•about 1 month ago

From Tail Risk to Design Baseline: How the Grid Is Adapting to Extreme Heat

•Grid planners are now treating extreme heat as a fundamental "design baseline" rather than a rare "tail risk," driven by drought, demand growth, and fuel concerns.
•This shift implies increased grid stress and potential for more stringent requirements for new generation and transmission projects, impacting development costs and timelines.
•Large power consumers should anticipate heightened grid reliability risks during heat events, necessitating robust backup solutions and potential participation in demand response programs.

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POWER Magazine•about 1 month ago

How the Power Sector Is Bracing for a More Violent Climate

•The power sector, including utilities, federal agencies, and national labs, is actively developing and deploying advanced tools to enhance grid resilience against increasingly severe climate events.
•A key concern is the speed at which these grid hardening measures can be implemented to effectively counter the escalating threat of extreme weather, as exemplified by a major storm event in April 2025.
•These efforts signify a growing focus on grid reliability and resilience, which is critical for large power consumers like datacenters and will likely influence future infrastructure investment and siting decisions for developers.

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POWER Magazine•about 1 month ago

Five Winters After Uri: Why Winter Readiness Must Go Beyond Weatherization

•The North American power sector has implemented significant regulatory and operational changes (EOP-012-3, Order 587-AB) post-Uri to enhance winter readiness.
•Key initiatives include mandatory cold weather critical component inventories and dual-fuel conversion projects for generation assets.
•Despite these efforts, recent events like Winter Storm Fern demonstrate the grid still operates 'very close to the edge' during extreme cold, indicating persistent reliability risks for large power consumers and potential for market volatility.

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Utility Dive•about 1 month ago

FERC approves SPP non-firm, large-load transmission service

•FERC has approved a new non-firm, large-load transmission service in the Southwest Power Pool (SPP) region.
•This service is designed to help data centers and other large power consumers connect to the grid and begin operations more quickly.
•The primary caveat is that these large loads can have their service curtailed or cut during periods of tight grid conditions to maintain overall grid reliability.

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Utility Dive•2 months ago

PJM floats options for capacity market overhaul

•PJM is proposing three options for a significant overhaul of its capacity market, citing the current system as "not tenable" and requiring decisions within "years, not decades."
•One key option involves a fundamental shift towards an "energy market model," which would drastically alter how generation capacity is valued and compensated.
•This overhaul signals imminent policy and regulatory changes that will directly impact investment decisions, revenue certainty for power generators (IPPs), and long-term power costs/reliability for large consumers.

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Utility Dive•2 months ago

NERC issues Level 3 alert, mandates action to address data center load losses

•NERC has issued a Level 3 alert, signaling immediate risks to grid reliability due to rapidly growing computational (data center) loads.
•Specific grid participants are mandated to implement seven actions by August 3rd to address these load losses and mitigate grid instability.
•This regulatory action highlights increasing grid stress from large, concentrated data center loads, creating urgent demand for robust grid infrastructure, reliable generation, and transmission solutions.

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Utility Dive•3 months ago

New England transmission owners ask FERC for increased ROE

•New England transmission owners (Eversource, Avangrid, etc.) are seeking an 11.39% Return on Equity (ROE) from FERC, up from the recently set 9.57%.
•Utilities cite 'current risk conditions' like the Iran war and supply chain constraints as reasons for needing a higher ROE to attract capital for transmission investments.
•If approved, this increase in ROE will directly translate to higher transmission costs, impacting electricity prices for large power consumers and increasing the cost burden for new generation projects connecting to the grid.

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Utility Dive•3 months ago

TransAlta seeks $19.9M for Centralia plant’s first DOE ‘emergency’ order

•TransAlta is seeking $19.9M from the DOE for costs incurred keeping its Centralia plant available under an emergency order, despite the plant not producing electricity.
•An additional $23M is required for repairs to the plant, further increasing the financial burden associated with this regulatory intervention.
•This incident highlights the risk of federal emergency orders overriding planned plant retirements, potentially forcing generators to maintain uneconomic assets.

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POWER Magazine•3 months ago

Power, Policy, and Scale: Inside the State Regulatory Response to Data Center Expansion

•Federal regulators (DOE, FERC) are intensifying focus on large-load interconnections, particularly for data centers.
•The Department of Energy (DOE) has initiated an Advanced Notice of Proposed Rulemaking (ANOPR) specifically targeting large-load interconnection processes.
•FERC is actively soliciting input on the DOE's ANOPR, signaling potential significant changes to interconnection rules.

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Utility Dive•3 months ago

Americans deserve facts, not fearmongering, about their electric bills

•The article advocates for policymakers to eliminate barriers to new energy infrastructure development, which is crucial for grid reliability and expansion.
•It emphasizes the necessity of allowing competitive power markets to function properly to ensure fair and stable electric bills for consumers and provide clear signals for investment.
•The CEO of EPSA argues that current market and regulatory frameworks are hindering efficient resource deployment, impacting both developers' ability to build and large loads' access to reliable, cost-effective power.

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Utility Dive•3 months ago

PJM market monitor opposes 1.3-GW gas plant deal between Hull Street, Rockland Capital

•PJM's market monitor (Monitoring Analytics) is urging FERC to review a 1.3-GW gas plant deal (Hull Street/Rockland Capital) due to concerns it could divert capacity.
•The primary concern is that such large-scale power deals could pull significant generation capacity out of the PJM market to directly serve growing data center demand.
•This signals potential increased regulatory scrutiny from FERC on how dedicated power supply agreements for large loads (like data centers) impact PJM's overall capacity availability and market operations.

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Utility Dive•3 months ago

In New Jersey, we’re leading by example, tackling energy affordability head-on

•New Jersey's BPU is actively expediting the development and deployment of solar and energy storage projects, signaling a favorable regulatory environment for developers.
•The BPU is advocating for significant structural market and cost recovery reforms at state, regional (PJM), and federal (FERC) levels, which could impact market rules, pricing, and investment for both developers and large loads.
•A primary focus is tackling energy affordability, suggesting potential changes in cost allocation and recovery mechanisms that could affect large power consumers' operational costs and developers' project economics.

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Utility Dive•3 months ago

PJM market monitor opposes waivers for Constellation’s Three Mile Island nuclear restart

•Constellation plans to restart its Three Mile Island nuclear unit, potentially next year, secured by a 20-year Power Purchase Agreement (PPA) with Microsoft for its data centers.
•The PJM market monitor opposes FERC waivers requested by Constellation, which are crucial for the unit to fully deliver power upon restart, signaling potential regulatory and market rule challenges.
•This situation highlights the strong demand from large power consumers like Microsoft for long-term, clean energy and capacity, and the regulatory complexities involved in bringing existing generation back online in organized markets like PJM.

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Utility Dive•3 months ago

New England states urge FERC to advance $1.5B in ratepayer refunds

•New England states are urging FERC to release $1.5 billion in ratepayer refunds, currently held up by an appeal from Eversource and Avangrid.
•The dispute, stemming from 15 years of litigation, involves potential overcharges that could impact electricity costs for large consumers.
•FERC's decision on dismissing the utilities' request to stay the refund order is critical for the disbursement of these funds.

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Utility Dive•3 months ago

Sudden data center load losses prompt NERC alert, recommendations

•NERC has issued an alert concerning multiple instances in 2024-2025 where 1,000 MW or more of data center load unexpectedly dropped from the bulk power system.
•These 'customer-initiated' load reductions are widespread and unexpected, posing significant reliability concerns for the grid.
•The NERC alert and recommendations signal increased regulatory scrutiny on data center load management and grid integration, impacting large power consumers and developers supplying them.

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