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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

Equitable to Upgrade Gas System for Orion Power Plant

LCG, Oct. 19, 2000--Appalachian natural gas company Equitable Resources Inc. said yesterday it would upgrade and expand its distribution system in order to provide fuel for a power plant located on Brunot Island in the Ohio River, two miles from downtown Pittsburgh, Pa.

The power plant, acquired by Orion Power Holdings Inc. from Duquesne Light Co., is a multi-unit combustion turbine facility that has heretofore been fueled with oil. Orion Power Midwest, an ad hoc subsidiary, is renovating the 397 megawatt facility, reactivating its combined-cycle capability and converting it to natural gas.

Equitable Gas Co. will install 24,600 feet of 16-inch steel distribution pipe and upgrade four district regulator stations. Upon completion of the pipeline and related facilities, Orion Power will enter into a 10-year gas transportation agreement with Equitable Gas to transport up to 100,000 decatherms per day of natural gas to the site.

Orion expects to have the power plant back on-line by the middle of 2002. Equitable said its new facilities would be in service by April of next year.

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