NEWS: Feds pave the way for Big Tech to plug data centers right into power plants in scramble for energy

FERC officially opened a “fast lane” for data centers to plug directly into power plants. (APNews)

  • In a unanimous decision, FERC ordered PJM to formalize rules for co-location, effectively allowing tech giants to bypass the clogged transmission grid and hook their server farms straight into nuclear or gas plants.

  • To prevent these deals from draining the public grid, regulators signaled that if a data center diverts power from an existing plant, it may be forced to pay the cost of replacing that lost energy (which could mean a big fee).

  • The move is a major win for power plant owners (whose stocks surged on the news) and establishes a blueprint for the Trump administration’s goal of prioritizing AI infrastructure speed over traditional utility red tape.

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