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Kansas and Michigan Finalize Large-Load Rules for Data Centers as Regional Oversight Advances

New guardrails require high-demand projects to shoulder upgrade costs, protecting existing ratepayers.

Overview

  • Kansas regulators approved Evergy’s tariff for new facilities over 75 MW, with up to five years to ramp, a 12-year minimum service term, an 80% minimum monthly bill, and customer payment for needed transmission upgrades.
  • Michigan’s Public Service Commission authorized Consumers Energy rules for loads over 100 MW that include a 15-year minimum contract, an 80% minimum monthly bill, and up to five years to reach full service levels.
  • The Kansas order notes customers under the new rate will pay an estimated 7%–10% more than current industrial rates, and Michigan’s order requires proof that other customers do not subsidize new large loads.
  • Evergy reports more than 6 GW of potential large-load projects in Kansas and roughly 15 GW across its territory, while Consumers Energy has identified about 9 GW in its pipeline.
  • Delaware lawmakers are weighing S.B. 205 to require a certificate for new loads over 30 MW, as PJM evaluates large-load interconnection rules and FERC extends initial comments on DOE’s proposal to Nov. 21.