EnergyOnline
Services

RSS FEED

EnergyOnline.com rss

News

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

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

BPA Sees Difficulty In Escaping Enron Contract

LCG, Feb. 11, 2002--A multiyear power purchase contract the Bonneville Power Administration signed with Enron could be broken off, but only at a high price.

The contract is for delivery of 320 megawatts through 2006, at an average cost of about $50 per megawatt-hour. The BPA is paying a premium of above $20 per megawatt-hour over current market prices. A spokesman for the BPA, Ed Mosey, told the Seattle Times, "we continue to look at our options, but just because a company files bankruptcy doesn't mean that you can walk away from your agreements."

The purchases by BPA were initiated between fall 2000 and spring 2001, and based on the high wholesale power prices of that period, BPA's rates increased 46 percent in October. Both the Snohomish County Public Utility District and Palo Alto, Calif., canceled contracts with Enron by invoking escape clauses relating to Enron's credit rating. Both are awaiting legal challenges in bankruptcy court, as Enron creditors look for assets still retained by Enron.

A standard Western Systems Power Pool contract formed the basis of BPA's purchases from Enron, and as such an escape clause similar to those invoked by Snohomish County PUD and Palo Alto was not included. The BPA could make a substantial payment in order to exit the contract.
Copyright © 2026 LCG Consulting. All rights reserved. Terms and Copyright
UPLAN-NPM
The Locational Marginal Price Model (LMP) Network Power Model
Uniform Storage Model
A Battery Simulation Model
UPLAN-ACE
Day Ahead and Real Time Market Simulation
UPLAN-G
The Gas Procurement and Competitive Analysis System
PLATO
Database of Plants, Loads, Assets, Transmission...
CAISO CRR Auctions
Monthly Price and Congestion Forecasting Service