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Facing competition from Big Tech, states dangle incentives and loosen laws to attract power plants
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Facing competition from Big Tech, states dangle incentives and loosen laws to attract power plants
BY MARC LEVY
Updated 12:07 AM EDT, March 9, 2025
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HARRISBURG, Pa. (AP) — Facing projections of spiking energy demand, U.S. states are pressing for ways to build new power plants faster as policymakers increasingly worry about protecting their residents and economies from rising electric bills, power outages and other consequences of falling behind Big Tech in a race for electricity.
Some states are dangling financial incentives. Others are undoing decades of regulatory structures in what they frame as a race to serve the basic needs of residents, avoid a catastrophe and keep their economies on track in a fast-electrifying society.
“I don’t think we’ve seen anything quite like this,” said Todd Snitchler, president and CEO of the Electric Power Supply Association, which represents independent power plant owners.
The spike in demand for electricity is being driven, in large part, by the artificial intelligence race as tech companies are snapping up real estate and seeking power to feed their energy-hungry data centers. Federal incentives to rebuild the manufacturing sector also are helping drive demand.
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Follow Marc Levy on X at https://x.com/timelywriter.
MARC LEVY
Levy covers politics and state government in Pennsylvania for The Associated Press. He is based in Harrisburg.
Facing competition from Big Tech, states dangle incentives and loosen laws to attract power plants
BY MARC LEVY
Updated 12:07 AM EDT, March 9, 2025
Share
HARRISBURG, Pa. (AP) — Facing projections of spiking energy demand, U.S. states are pressing for ways to build new power plants faster as policymakers increasingly worry about protecting their residents and economies from rising electric bills, power outages and other consequences of falling behind Big Tech in a race for electricity.
Some states are dangling financial incentives. Others are undoing decades of regulatory structures in what they frame as a race to serve the basic needs of residents, avoid a catastrophe and keep their economies on track in a fast-electrifying society.
“I don’t think we’ve seen anything quite like this,” said Todd Snitchler, president and CEO of the Electric Power Supply Association, which represents independent power plant owners.
The spike in demand for electricity is being driven, in large part, by the artificial intelligence race as tech companies are snapping up real estate and seeking power to feed their energy-hungry data centers. Federal incentives to rebuild the manufacturing sector also are helping drive demand.
{snip}
___
Follow Marc Levy on X at https://x.com/timelywriter.
MARC LEVY
Levy covers politics and state government in Pennsylvania for The Associated Press. He is based in Harrisburg.