Companies looking to connect data processing centers or other electricity-hungry facilities to the electric grid in Oklahoma could have their plans fast-tracked under a new framework from the SPP.
The transmission organization administers electricity to the state, along with parts of 13 others. The proposal, approved by the Federal Energy Regulatory Commission (FERC) last week, applies to its entire territory.
The plan “is part of SPP’s solution to balance the increasing number of customer requests to connect large loads, such as AI-driven data centers or manufacturing projects, to the power grid while also continuing to support energy needs for the entire region,” the organization’s announcement reads.
The High Impact Large Load (HILL) structure sets up a 90-day study-and-approval process for projects like data centers that meet one of two requirements: The companies must provide their own energy or connect to new or existing generation sources.
“One common use case is pairing a combustion turbine or combined-cycle plant next to a large data center,” Seth Blomeley, senior communications strategist for the SPP, wrote in an email. “Multiple plans are being made in Oklahoma for such an arrangement.”
Oklahoma passed a law last year allowing companies that produce their own power to avoid state regulation. Senate Bill 480 was authored by Sen. Grant Green (R-Wellston) and became law last May. The exemption only applies to facilities opting for natural gas generation.
Blomeley said the HILL plan was made to balance industry plans with grid reliability.
Oklahoma Corporation Commission Chairman Kim David welcomed the proposal’s approval in a statement.
“FERC’s approval of SPP’s High Impact Large Load proposal helps Oklahoma attract major economic development by allowing large projects to connect to the grid and become operational more quickly, while clearly assigning costs to those projects,” she said. “The framework also strengthens transparency and regulatory oversight, ensuring the OCC can protect ratepayers as new investment and jobs come to the state.”
As of Jan. 21, Blomeley said there are 12 large load projects planned for the state in SPP’s queue. The organization states its approval is effective as of January 15. It has 30 days to make a compliance filing with FERC to address legal matters.
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