Utility Dive•24 days ago
Solving PJM’s data center problem
Key Takeaway
PJM's proposed policy shift to make new data centers responsible for their own capacity procurement via interruptible service will significantly impact development strategies and financial models for large loads in the region.
AI Summary
- •PJM is grappling with a 'data center problem' related to grid capacity and reliability.
- •The Natural Resources Defense Council proposes PJM stop procuring capacity for new data centers.
- •New data centers would instead be offered only interruptible service until they secure and provide their own dedicated capacity.
- •This policy shift would transfer the responsibility and cost of capacity procurement for new large loads directly to data center developers and operators.
Topics
capacity-marketdatacenterfercpjmpolicy
Article Content
The grid operator must stop buying capacity for new data centers. Instead, it can provide them with only interruptible service until they bring their own capacity, write Tom Rutigliano and Claire Lang-Ree of the Natural Resources Defense Council.