The US Energy Secretary wants to see datacenters connected to the grid faster, and has directed the Federal Energy Regulatory Commission (FERC) to implement new rules that speed the process.
In a letter to FERC, which oversees electricity transmission, Secretary Chris Wright instructed it to implement various procedures, with one proposed rule to limit the time taken to review connection decisions to 60 days.
Announcing the move, the Department of Energy (DOE) said that the US is experiencing an unprecedented surge in electricity demand, and that the nation’s ability to remain at the forefront of technological innovation depends on an affordable, reliable, and secure supply of energy.
That surge in electricity demand is due in part to a boom in datacenter construction, itself a result of the AI fad that has seen billions of dollars thrown at developing and training ever larger machine learning models on ever more power-hungry hardware.
A recent report by Deloitte Insights estimated that the power draw from all these American bit barns may be more than 30 times greater by 2035, if growth continues along the same path.
Meanwhile, the same report noted lengthy delays in getting new-build projects connected to the grid, whether they are datacenters or energy generation facilities. There is currently a seven-year wait on some requests for connection, Deloitte claimed.
Secretary Wright says he wants to cut through all that, and accelerate the connection process for large loads, including datacenters.
In the letter, he notes that FERC has not historically exerted jurisdiction over load connections, but he believes that the interconnection of large loads directly to the interstate transmission system should fall squarely within the commission’s jurisdiction.
The proposed reforms would apply only to new loads greater than 20 MW and would make load facilities subject to standardized study deposits, readiness requirements, and withdrawal penalties, as generator sites are, to deter speculative projects and provide a clearer picture of actual demand.
When it comes to large loads, Secretary Wright proposes that applicants that agree to be curtailable should have their request expedited. Curtailable loads can be reduced or temporarily shut off to stabilize the grid.
“We seek comment on appropriate deadlines for such an expedited study process, including whether such studies can be completed in 60 days,” he states in the letter.
- AI investment is the only thing keeping the US out of recession
- Grounded jet engines take off again as datacenter generators
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Secretary Wright also directed FERC to remove unnecessary burdens for preliminary hydroelectric power permits, which appears to mean disregarding any objections to them being built.
“In recent orders, the commission denied a series of applications for preliminary permits on the basis that third parties responsible for the lands on which the projects were to be located opposed the preliminary permit,” he said.
A new section is proposed to be added to the commission’s regulations “to codify and clarify that opposition from third parties is not a basis to deny an application for a preliminary permit,” his letter states.
The DOE has already been moving to address issues with energy generation and datacenter sites getting mired in permit delays.
In August, the department named ten companies it will work with to test out advanced atomic reactor projects, with the aim of speeding new generators into service. In July, it picked out four federal government sites where private sector firms will be invited to colocate datacenters and energy generation projects.
Last month, President Trump hosted many of Silicon Valley’s top brass at a White House dinner where he pledged to remove obstacles to connecting datacenters to the electricity grid and supplying them with enough power. ®
The US Energy Secretary wants to see datacenters connected to the grid faster, and has directed the Federal Energy Regulatory Commission (FERC) to implement new rules that speed the process.
In a letter to FERC, which oversees electricity transmission, Secretary Chris Wright instructed it to implement various procedures, with one proposed rule to limit the time taken to review connection decisions to 60 days.
Announcing the move, the Department of Energy (DOE) said that the US is experiencing an unprecedented surge in electricity demand, and that the nation’s ability to remain at the forefront of technological innovation depends on an affordable, reliable, and secure supply of energy.
That surge in electricity demand is due in part to a boom in datacenter construction, itself a result of the AI fad that has seen billions of dollars thrown at developing and training ever larger machine learning models on ever more power-hungry hardware.
A recent report by Deloitte Insights estimated that the power draw from all these American bit barns may be more than 30 times greater by 2035, if growth continues along the same path.
Meanwhile, the same report noted lengthy delays in getting new-build projects connected to the grid, whether they are datacenters or energy generation facilities. There is currently a seven-year wait on some requests for connection, Deloitte claimed.
Secretary Wright says he wants to cut through all that, and accelerate the connection process for large loads, including datacenters.
In the letter, he notes that FERC has not historically exerted jurisdiction over load connections, but he believes that the interconnection of large loads directly to the interstate transmission system should fall squarely within the commission’s jurisdiction.
The proposed reforms would apply only to new loads greater than 20 MW and would make load facilities subject to standardized study deposits, readiness requirements, and withdrawal penalties, as generator sites are, to deter speculative projects and provide a clearer picture of actual demand.
When it comes to large loads, Secretary Wright proposes that applicants that agree to be curtailable should have their request expedited. Curtailable loads can be reduced or temporarily shut off to stabilize the grid.
“We seek comment on appropriate deadlines for such an expedited study process, including whether such studies can be completed in 60 days,” he states in the letter.
- AI investment is the only thing keeping the US out of recession
- Grounded jet engines take off again as datacenter generators
- Hyperscalers try to beat the heat with larger racks, more air flow
- Decomposed dinosaurs make Texas a top destination for AI bit barns
Secretary Wright also directed FERC to remove unnecessary burdens for preliminary hydroelectric power permits, which appears to mean disregarding any objections to them being built.
“In recent orders, the commission denied a series of applications for preliminary permits on the basis that third parties responsible for the lands on which the projects were to be located opposed the preliminary permit,” he said.
A new section is proposed to be added to the commission’s regulations “to codify and clarify that opposition from third parties is not a basis to deny an application for a preliminary permit,” his letter states.
The DOE has already been moving to address issues with energy generation and datacenter sites getting mired in permit delays.
In August, the department named ten companies it will work with to test out advanced atomic reactor projects, with the aim of speeding new generators into service. In July, it picked out four federal government sites where private sector firms will be invited to colocate datacenters and energy generation projects.
Last month, President Trump hosted many of Silicon Valley’s top brass at a White House dinner where he pledged to remove obstacles to connecting datacenters to the electricity grid and supplying them with enough power. ®
The US Energy Secretary wants to see datacenters connected to the grid faster, and has directed the Federal Energy Regulatory Commission (FERC) to implement new rules that speed the process.
In a letter to FERC, which oversees electricity transmission, Secretary Chris Wright instructed it to implement various procedures, with one proposed rule to limit the time taken to review connection decisions to 60 days.
Announcing the move, the Department of Energy (DOE) said that the US is experiencing an unprecedented surge in electricity demand, and that the nation’s ability to remain at the forefront of technological innovation depends on an affordable, reliable, and secure supply of energy.
That surge in electricity demand is due in part to a boom in datacenter construction, itself a result of the AI fad that has seen billions of dollars thrown at developing and training ever larger machine learning models on ever more power-hungry hardware.
A recent report by Deloitte Insights estimated that the power draw from all these American bit barns may be more than 30 times greater by 2035, if growth continues along the same path.
Meanwhile, the same report noted lengthy delays in getting new-build projects connected to the grid, whether they are datacenters or energy generation facilities. There is currently a seven-year wait on some requests for connection, Deloitte claimed.
Secretary Wright says he wants to cut through all that, and accelerate the connection process for large loads, including datacenters.
In the letter, he notes that FERC has not historically exerted jurisdiction over load connections, but he believes that the interconnection of large loads directly to the interstate transmission system should fall squarely within the commission’s jurisdiction.
The proposed reforms would apply only to new loads greater than 20 MW and would make load facilities subject to standardized study deposits, readiness requirements, and withdrawal penalties, as generator sites are, to deter speculative projects and provide a clearer picture of actual demand.
When it comes to large loads, Secretary Wright proposes that applicants that agree to be curtailable should have their request expedited. Curtailable loads can be reduced or temporarily shut off to stabilize the grid.
“We seek comment on appropriate deadlines for such an expedited study process, including whether such studies can be completed in 60 days,” he states in the letter.
- AI investment is the only thing keeping the US out of recession
- Grounded jet engines take off again as datacenter generators
- Hyperscalers try to beat the heat with larger racks, more air flow
- Decomposed dinosaurs make Texas a top destination for AI bit barns
Secretary Wright also directed FERC to remove unnecessary burdens for preliminary hydroelectric power permits, which appears to mean disregarding any objections to them being built.
“In recent orders, the commission denied a series of applications for preliminary permits on the basis that third parties responsible for the lands on which the projects were to be located opposed the preliminary permit,” he said.
A new section is proposed to be added to the commission’s regulations “to codify and clarify that opposition from third parties is not a basis to deny an application for a preliminary permit,” his letter states.
The DOE has already been moving to address issues with energy generation and datacenter sites getting mired in permit delays.
In August, the department named ten companies it will work with to test out advanced atomic reactor projects, with the aim of speeding new generators into service. In July, it picked out four federal government sites where private sector firms will be invited to colocate datacenters and energy generation projects.
Last month, President Trump hosted many of Silicon Valley’s top brass at a White House dinner where he pledged to remove obstacles to connecting datacenters to the electricity grid and supplying them with enough power. ®
The US Energy Secretary wants to see datacenters connected to the grid faster, and has directed the Federal Energy Regulatory Commission (FERC) to implement new rules that speed the process.
In a letter to FERC, which oversees electricity transmission, Secretary Chris Wright instructed it to implement various procedures, with one proposed rule to limit the time taken to review connection decisions to 60 days.
Announcing the move, the Department of Energy (DOE) said that the US is experiencing an unprecedented surge in electricity demand, and that the nation’s ability to remain at the forefront of technological innovation depends on an affordable, reliable, and secure supply of energy.
That surge in electricity demand is due in part to a boom in datacenter construction, itself a result of the AI fad that has seen billions of dollars thrown at developing and training ever larger machine learning models on ever more power-hungry hardware.
A recent report by Deloitte Insights estimated that the power draw from all these American bit barns may be more than 30 times greater by 2035, if growth continues along the same path.
Meanwhile, the same report noted lengthy delays in getting new-build projects connected to the grid, whether they are datacenters or energy generation facilities. There is currently a seven-year wait on some requests for connection, Deloitte claimed.
Secretary Wright says he wants to cut through all that, and accelerate the connection process for large loads, including datacenters.
In the letter, he notes that FERC has not historically exerted jurisdiction over load connections, but he believes that the interconnection of large loads directly to the interstate transmission system should fall squarely within the commission’s jurisdiction.
The proposed reforms would apply only to new loads greater than 20 MW and would make load facilities subject to standardized study deposits, readiness requirements, and withdrawal penalties, as generator sites are, to deter speculative projects and provide a clearer picture of actual demand.
When it comes to large loads, Secretary Wright proposes that applicants that agree to be curtailable should have their request expedited. Curtailable loads can be reduced or temporarily shut off to stabilize the grid.
“We seek comment on appropriate deadlines for such an expedited study process, including whether such studies can be completed in 60 days,” he states in the letter.
- AI investment is the only thing keeping the US out of recession
- Grounded jet engines take off again as datacenter generators
- Hyperscalers try to beat the heat with larger racks, more air flow
- Decomposed dinosaurs make Texas a top destination for AI bit barns
Secretary Wright also directed FERC to remove unnecessary burdens for preliminary hydroelectric power permits, which appears to mean disregarding any objections to them being built.
“In recent orders, the commission denied a series of applications for preliminary permits on the basis that third parties responsible for the lands on which the projects were to be located opposed the preliminary permit,” he said.
A new section is proposed to be added to the commission’s regulations “to codify and clarify that opposition from third parties is not a basis to deny an application for a preliminary permit,” his letter states.
The DOE has already been moving to address issues with energy generation and datacenter sites getting mired in permit delays.
In August, the department named ten companies it will work with to test out advanced atomic reactor projects, with the aim of speeding new generators into service. In July, it picked out four federal government sites where private sector firms will be invited to colocate datacenters and energy generation projects.
Last month, President Trump hosted many of Silicon Valley’s top brass at a White House dinner where he pledged to remove obstacles to connecting datacenters to the electricity grid and supplying them with enough power. ®
