The Trump administration issued a proposal late Thursday that aims to help AI data centers get connected to the electric grid more quickly.
Energy Secretary Chris Wright sent the proposal to the Federal Energy Regulatory Commission (FERC) that he hopes will accelerate the connection of data centers to the grid, according to a department press release.
Data centers use a large amount of power and in some cases, are expected to raise electricity prices.
Wright’s rule particularly seems to favor centers that come with their own “dispatchable” power sources — allowing such facilities to have their studies “expedited.”
It’s not entirely clear how dispatchable is defined, but it often refers to fossil fuel and nuclear plants that can be turned on and off at will. It may also refer to renewables if they come with batteries that can store the power they produce.
Under law, the secretary is able to send proposals to the independent commission, but it will ultimately be up to FERC whether to go through with it. Currently, the five-member panel has two Democrats and two Republicans. A third Republican was recently confirmed by the Senate but has not yet been sworn in.
“To usher in a new era of American prosperity, we must ensure all Americans and domestic industries have access to affordable, reliable, and secure electricity,” Wright said in a letter to the commission. “To do this, large loads, including AI data centers, served by public utilities must be able to connect to the transmission system in a timely, orderly, and non-discriminatory manner. This is an urgent issue that requires prompt attention.”
The administration has been supportive of growing data centers that power AI technology, saying that it needs to win the AI race with China and grow the economy. Critics of AI warn that its demand for power has the potential to raise fuel costs and worsen climate change.
