How to deal with the data center squeeze? ERCOT’s answer: overhauling how large-load users link up to the grid. (San Antonio Express-News)
The grid operator designed its interconnection process expecting 8-15 large-load requests per quarter.
Enter the AI boom, which has pushed that figure up to 100 (230 GWs’ worth). Now, projects get trapped in a regulatory doom loop where applications must be repeatedly restudied as new requests pile in.
The fix: A “batch study” process that evaluates large-load projects together and allocates grid capacity over a six-year window. This gives utilities and developers more certainty around timing, costs, and infrastructure upgrades. Evaluation of the first group could kick off around June, with refined procedures expected by September.