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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

Construction Proceeds at FPL Energy's Wind Farm in Colorado

LCG, May 18, 2007--The ground breaking ceremony occurred Wednesday for the Peetz Table Wind Energy Center, located in Colorado. Xcel Energy executed a long-term, power purchase agreement (PPA) with FPL Energy for all of the power generated by the project, which has a target capacity of 400 MW. The wind energy will provide a substantial portion of the renewable energy called for in Colorado's renewable portfolio standard (RPS).

The Peetz Table Wind Energy Center was developed by FPL Energy and Invenergy Wind LLC. A subsidiary of FPL Energy will operate the energy center, which is to include 267 GE wind turbines. The installation of the wind turbines is scheduled to be completed by the end of the year.

In order to connect the project to the electric grid, FPL Energy will construct a transmission line nearly 80 miles long to Xcel Energy?s Pawnee substation near Brush.

The Colorado RPS requires each investor-owned utility to use specific percentages of renewable energy and/or recycled energy, including 5% of its retail electricity sales in Colorado for the years 2008-2010, and ratcheting up to 20% for the year 2020 and for each subsequent year.
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