The surge in data center load is triggering a turf war between state regulators and the Feds over who controls the grid. (CTVC)
FERC has proposed a new framework to treat "large loads" (20 MW+) like power plants—asserting federal jurisdiction to speed up approvals and forcing developers to pay for upgrades.Â
Yes, but: This risks overriding state-level tariffs in places like Ohio, Virginia, and Indiana that already impose strict "take-or-pay" contracts to protect local ratepayers.
While federal policymakers want speed for AI infrastructure, states are focused on risk. If the feds fumble the rollout, they could create more uncertainty and delay the very projects hyperscalers are racing to build.