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DOE Announces Site Selection for Energy Infrastructure and AI Data Centers on Federal Lands

LCG, July 24, 2025--The U.S. Department of Energy (DOE) today announced the next steps in the Trump administration’s plan to accelerate the development of AI infrastructure by using Federal lands to lower energy costs and help power the global AI race, as previously outlined in President Trump’s Executive Orders on Accelerating Federal Permitting of Data Center Infrastructure, Deploying Advanced Nuclear Reactor Technologies for National Security, and Unleashing American Energy.

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Enbridge Announces 600-MW Solar Project in Texas to Power Meta Data Center Operations

LCG, July 22, 2025--Enbridge Inc. (Enbridge) today announced that it has reached a final investment decision on the Clear Fork solar project located near San Antonio, Texas. Meta Platforms, Inc. (Meta), has signed a long-term contract for all of the renewable power generated from the 600-MW project.

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Industry News

BPA Sees Difficulty In Escaping Enron Contract

LCG, Feb. 11, 2002--A multiyear power purchase contract the Bonneville Power Administration signed with Enron could be broken off, but only at a high price.

The contract is for delivery of 320 megawatts through 2006, at an average cost of about $50 per megawatt-hour. The BPA is paying a premium of above $20 per megawatt-hour over current market prices. A spokesman for the BPA, Ed Mosey, told the Seattle Times, "we continue to look at our options, but just because a company files bankruptcy doesn't mean that you can walk away from your agreements."

The purchases by BPA were initiated between fall 2000 and spring 2001, and based on the high wholesale power prices of that period, BPA's rates increased 46 percent in October. Both the Snohomish County Public Utility District and Palo Alto, Calif., canceled contracts with Enron by invoking escape clauses relating to Enron's credit rating. Both are awaiting legal challenges in bankruptcy court, as Enron creditors look for assets still retained by Enron.

A standard Western Systems Power Pool contract formed the basis of BPA's purchases from Enron, and as such an escape clause similar to those invoked by Snohomish County PUD and Palo Alto was not included. The BPA could make a substantial payment in order to exit the contract.
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