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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

Duke/Fluor Daniel to Operate Duke’s California Plants

LCG, July 11, 2000--Duke Energy Corp. is keeping it all in the family as far as running the California power plants it bought from two of the states utilities goes. Duke Energy North America has given Duke/Fluor Daniel a five year contract to provide operating plant services for the facilities, which have a combined capacity of 3,351 megawatts.

And Duke/Fluor Daniel has created another affiliate, DFD California Operations, to take over the day-to-day management of the plants. Duke/Fluor Daniel is a joint venture between Duke Energy Corp. and Fluor Daniel, the engineering, procurement and construction unit of Fluor Corp.

The four plants are Morro Bay, Moss Landing and Oakland, which Duke purchased from Pacific Gas & Electric Co., and the South Bay plant formerly owned by San Diego Gas & Electric Co.

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