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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

El Paso Sells Coal and Natural Gas Assets

LCG, November 7, 2002-El Paso Corp. plans to sell over a half a billion dollars worth of assets.

El Paso, the continent's largest pipeline company, has announced the sale or future sale of some of its coal reserves, coal properties, and gas-related assets.

El Paso has said Natural Resource Partners L.P. intends to buy Coastal Coal's reserves in areas of West Virginia and Virginia for $69 million.

Westport Resources company plans to buy natural gas sources in Utah for $502 million. Uintah Basin and Ouray Fields have a combined total of over 1,000 wells, producing roughly 80 million cubic feet of gas per day.

Currently, El Paso Corporation is under scrutiny for allegedly restricting gas supply to California during the California energy crisis of 2000/2001.

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