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Faster-than-Expected Data Center Load Growth May Cause Increased Regional Short-term Fossil Fuel Generation and Wholesale Electricity Prices

LCG, March 18, 2026--The EIA released a new "In-depth Analysis" of the potential impact of faster-than-expected near-term growth in data center power demand on power generation and wholesale prices on March 12. The analysis models the lower 48 states through 2027 and compares results to its base case scenario. Key takeaway from this sensitivity analysis is the potential increase in fossil fuels in some regions and potentially a significant increase in wholesale prices in ERCOT.

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Faster-than-Expected Data Center Load Growth May Cause Increased Regional Short-term Fossil Fuel Generation and Wholesale Electricity Prices

LCG, March 18, 2026--The EIA released a new "In-depth Analysis" of the potential impact of faster-than-expected near-term growth in data center power demand on power generation and wholesale prices on March 12. The analysis models the lower 48 states through 2027 and compares results to its base case scenario. Key takeaway from this sensitivity analysis is the potential increase in fossil fuels in some regions and potentially a significant increase in wholesale prices in ERCOT.

Read more

Industry News

Electricity Traders Form Trade Association

LCG, November 5, 2002Several energy traders have created an association in order to fortify themselves against unstable energy markets.

Amerex Group, GFI Group, APB Financial LLC, Natsource LLC, Prebon Energy, Starsupply Petroleum LLC, and TFS Energy LLC recently joined forces to form the Energy Brokers Association.

These groups want to show that they are setting standard, reliable trading practices and intend to work with outside companies and government bodies.

The association has mentioned it will work to specify the purpose and activities of over-the-counter traders, among other issues.

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