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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

Connecticut Plant Construction Starts

LCG, Feb. 4, 2002--Construction of a 544-megawatt, gas-fired power plant has begun in Meridian, Connecticut.

The project, in New Haven County, is being undertaken by NRG Inc., and is expected to start operations at the Meridian Industrial Park in the third quarter of 2003. The merchant plant's output will serve intermediate and peak load.

Developer NRG, which is based in Minneapolis, Minn., owns 65 plants worldwide that burn coal, gas and oil.
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