The Data Center Edition | Reading and Podcast Picks - May 31, 2026
Data centers, electricity prices, and who should pay; 24/7 renewables closer than you think; data centers' water footprint in Texas; Fervo Energy goes public; and the history of the American grid.
Reading and Podcast Picks is a collection of what we’ve been reading and listening to over the last week or so about energy topics.
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Understanding the drivers of rising electricity rates and the role of data centers | E3
This report from E3 on the increasing costs of electricity shows how data centers could actually put downward pressure on prices. As the figure from the LBNL/Brattle report update last month and reproduced here illustrates, prices decline when demand outpaces rising system costs. System costs are going up. Grid infrastructure is aging and extreme weather is becoming more common. The question is how much demand will grow and whether that exceeds system costs.
Of course, how costs are apportioned is also incredibly important. As E3 shows, new minimum transmission charges, contributions in aid of construction and other fees were nearly nonexistent a few years ago and are becoming very common as regulators, advocates, and large load customers aim to spread costs equitably.
