FERC rejects plan to expand Amazon data centre capacity
The US Federal Energy Regulatory Commission (FERC) has rejected a proposed amendment to increase Amazon’s data centre load capacity at the Susquehanna nuclear facility in Pennsylvania from 300 MW to 480 MW.
The amended interconnection service agreement, executed between Talen Energy, PJM Interconnection, and PPL Electric Utilities, aimed to expand capacity at the data center.
FERC raised concerns about the public impact of this increased capacity, noting potential risks to grid stability and consumer power costs.
The regulatory body highlighted that diverting substantial power from the regional grid might lead to supply shortages, escalating electricity prices, and affecting grid reliability. FERC also pointed out that the financial responsibility for necessary transmission and distribution upgrades remained unresolved.
FERC Commissioner Mark Christie emphasized the complex challenges associated with co-location arrangements, stating, “This commission has already acknowledged the importance and complexities of these issues, which is why we held a technical conference to explore them.”
Talen Energy responded by stating that the decision could dampen economic development in states like Pennsylvania, Ohio, and New Jersey.
Separately, in May 2024, CPS Energy acquired three natural gas plants in Texas from Talen for $785 million, adding a combined capacity of 1.7 GW with facilities in Corpus Christi and Laredo.