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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

Judge Lets PG&E Pay Some Creditors

LCG, April 1, 2002-Northern California's bankrupt utility Pacific Gas & Electric was allowed to pay some of its creditors, according to Wednesday's ruling by U.S. Bankruptcy Judge Dennis Montali.

PG&E can now pay back $790 million it owes to eighteen fund managers.

While Judge Montali opposed the repayment at first, he approved the plan because creditors would be allowed to choose by which method PG&E would emerge from bankruptcy.

Meanwhile, creditors have yet to receive ballots on what will be done about the rest of PG&E's reported $12.5 billion debt. Both PG&E and the California Public Utilities Commission have come up with plans to remedy the bankruptcy, and Judge Montali ruled that creditors shall vote later this year on which of the two is best.

Some, such as U.S. Bankruptcy trustee Linda Stanley, think that allowing PG&E to pay down some debt now will sway creditors to vote for the utility's plan rather than the Commission's.

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