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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

Residential Fuel Cell Powers NY Home

LCG, April 18, 2002-Business and government joined forces today to bring fuel cell technology to a single-family home in New York state.

New York State Energy Research and Development Authority (NYSERDA), National Fuel Gas Company, ATSI Engineering Services, Integrated Building and Construction Solutions, the U.S. Department of Energy (DOE) and Plug Power came together to exhibit the system in Lewiston, New York.

NYSERDA and National Fuel Gas Distribution are behind two fuel cell projects. The Lewiston home and a second home in Colden, New York will receive their power from their own Plug Power 5 kilowatt grid-parallel fuel systems.

Plug Power plans to retrieve the natural gas fuel cell systems for analysis after one year of operation. The DOE has funded monitoring equipment, installed in the homes by Integrated Building and Construction Solutions.

Fuel cells exploit the energy produced by the creation of water. Hydrogen and oxygen combine, yielding electric power and water, without combustion. Operation of fuel cells is therefore very clean and environmentally sound. However, hydrogen can be dangerous to store and is very flammable, and the gaseous atoms are derived from sources at some environmental and energetic cost. Hydrogen can be obtained from, among other things, natural gas, gasoline, and electrolysis of water.

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