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w10-1 3 days ago

Regulating high-demand customers does seem most reasonable. But when the Texas legislature gets involved, it's typically to build a political franchise by creating government power than can be used arbitrarily against a fixed asset. In this case, nothing prevents the grid authority from harassing the data center during the many overload periods when a power contract is coming up for renewal.

Not that businesses aren't abusing the process, either. The article mentions that 80-90% of planned data centers won't be built, due to duplicate applications. They duplicate both to secure a "phantom" slot for power, and to get localities to compete with incentives for business. It's hard to plan a grid when financial speculation and gamesmanship is driving the planning.

The worst aspect is that Texas corruption is explicitly being offered as a model for other states in the PJM interconnect.

I wonder how much of the high economic growth rate in the 1950's-1980's came from the lack of gamesmanship and political franchises. But it's probably unrealistic to think professionals could step back from the very maximalist positions that are selecting them as leaders.

mike_d 2 days ago | parent [-]

> But when the Texas legislature gets involved, it's typically to build a political franchise by creating government power than can be used arbitrarily against a fixed asset.

When I saw that it only applies to datacenters using more than 75 MW, my first thought was who are they writing the rule around?

I imagine we will see things like "xAI Under 75 MW Datacenter III, LLC", "xAI Under 75 MW Datacenter IV, LLC", etc.