Constellation pushes for grid rules on data centre links
A regulatory battle over data centre links to nuclear plants highlights growing tensions between utilities and power generators.
Constellation Energy has filed a complaint with the Federal Energy Regulatory Commission (FERC), urging PJM Interconnection, the country’s largest grid operator, to establish rules for electricity suppliers connecting to data centres near power plants. Constellation alleges that some utilities exploit the absence of guidelines to block competition from power generators.
The dispute follows FERC’s recent rejection of a capacity increase for a data centre linked to a Pennsylvania nuclear plant, citing potential grid reliability issues and higher consumer costs. Constellation, a key nuclear plant operator, supported Talen Energy in that case.
Connecting data centres directly to power plants is a growing priority for Big Tech companies, seeking rapid access to power for AI expansion. Constellation claims Exelon’s refusal to complete interconnection work at the LaSalle nuclear plant could escalate costs significantly. Analysts warn that lengthy disputes could negatively impact the power sector.
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