FERC Rejects ComEd Cancellation of 1.8-GW Data Center Agreement
A planned 1.8-GW, $20 billion data center in Joliet, Illinois, being developed by PowerHouse Hillwood Holding, remains subject to a transmission security agreement dispute involving Commonwealth Edison (ComEd) and the Federal Energy Regulatory Commission (FERC).
FERC on Sept. 22 rejected ComEd’s notice seeking to cancel the transmission security agreement (TSA) for the project. The dispute centers on credit-support requirements, with PowerHouse Hillwood maintaining that it satisfied the initial requirements through a $1 posting.
The matter is pending in the U.S. District Court for the Northern District of Illinois. FERC declined to assert primary jurisdiction over the contract dispute.
The case highlights challenges in connecting very large loads to the transmission system. FERC Commissioner David Rosner said, “Requiring security deposits helps ensure both project viability and transparency,” adding that cost-recovery agreements help ensure project risks remain with developers rather than the public.
Source: utilitydive.com
