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DATA CENTER NEWS
Data Centers | Large-Load Interconnection: Who Really Wants What
December 3, 2025 | Data Center, Data Center Connectivity, Data Center Developers, Data Center Interconnection, Data Center Owners, Data Center Power, Data Center Power Strategy, Data Center Powered Land, Data Center Site Selection, Data Centers, Data Centre, Data Centres, datacenterpowers.com, Gigawatt (GW), Megawatt (MW), Power Procurement, Powered Land, U.S. Government
Large-Load Interconnection: What Hyperscalers, Developers, Utilities, and Regulators Really Want
On November 21, 2025, a wide range of organizations filed comments with the Federal Energy Regulatory Commission (FERC) regarding the Department of Energy’s (DOE) Advance Notice of Proposed Rulemaking (ANOPR) on large-load electric interconnections (Docket No. RM26-4-000). Filers included:
- American Public Power Association (APPA) - Pennsylvania Public Utility Commission (PUC) - Arizona Corporation Commission (ACC) - National Association of Regulatory Utility Commissioners (NARUC) - Electric Power Supply Association (EPSA)
These filings responded to FERC’s inquiry on accelerating the interconnection of very large loads — including data centers, AI campuses, industrial loads, and hybrid/BTM facilities. And while each group approached the issue differently, the filings collectively highlight a major tension now shaping the future of U.S. data center development: Who gets power, how fast, and who pays for the upgrades?
Key Themes From the November 21 Filings
1. State jurisdiction & federal overreach concerns. State commissions — especially the Pennsylvania PUC and Arizona Corporation Commission — warned that the ANOPR could invade state authority over:
- Retail Tariffs
- Resource Adequacy
- Cost Recovery
- Local Reliability
2. Cost allocation & stranded cost protection. APPA and multiple state bodies stressed that existing customers cannot be forced to subsidize upgrades triggered by 100–500 MW data center loads.
3. Support for acceleration (with guardrails). EPSA supported the idea of accelerating large-load interconnections but emphasized:
- National consistency in process
- Avoiding rigid, prescriptive mandates
- Respecting state authority on retail matters
Final Takeaway
The next era of U.S. data center expansion will be shaped not only by hyperscalers and utilities, but by developers, operators, investors, PSCs, and consumer advocates.
If DOE and FERC want faster large-load interconnections, all six stakeholder groups must be included — especially developers, who now drive a significant portion of new queue volume, powered-land acquisition, and multi-phase campus planning.
The rules written now will determine whether the next 20+ GW of digital infrastructure is delivered efficiently — or delayed by misaligned incentives across the ecosystem.