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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

Now Fitchburg Gas Wants a 25 Percent Rate Hike

LCG, Sept. 28, 2000Fitchburg Gas & Electric Light Co., which less than two weeks ago asked Massachusetts regulators to approve a winter rate boost that would cost a typical residential natural gas customer $14.11 a month more than he is now paying, said yesterday that's not enough and asked for an increase the would add $30.07 to the householder's monthly bill.

Fitchburg said yesterday that it had "refiled" for a gas rate increase with the Massachusetts Department of Energy and Telecommunications and that the new filing replaces the more modest request of September 15.

Two weeks ago, the company said it needed an 11.5 percent increase, but news of rising wholesale prices for natural gas has prompted it to more than double the request to 24.5 percent. Even the company doesn't know where it will all end.

Mike Dalton, president of parent company Unitil Corp., said only "Natural gas supply pricing has escalated rapidly in a very short period of time."

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