FERC regulatory battles over whether collocated AI data centers can siphon dedicated nuclear/renewable energy generation from the bulk regional transmission grid.
Under Section 205 of the Federal Power Act, all rates and charges made by public utilities subject to FERC jurisdiction must be just and reasonable. When Talen Energy sought to interconnect an Amazon AI data center directly behind the meter of the Susquehanna nuclear power plant, competing utilities filed protests alleging that co-located hyperscale data centers effectively siphon clean baseload power while shifting transmission costs onto public ratepayers.