Data Centers, Demand, and Dollars

As data centers and other large loads reshape utility planning across the country, Synapse is helping regulators, advocates, and policymakers evaluate what that growth means for the grid and for customer bills. This one-pager summarizes our approach, from load forecasting and cost allocation to tariff design and customer protections, along with recent testimony and project work in states including Louisiana, Georgia, Michigan, and Virginia.

Synapse’s Experience

Synapse has extensive experience evaluating how the integration of data center and other large loads affect the grid and customer bills. Our work examines utility load forecasts, proposed resource additions, and tariffs to assess the potential for cost shifting, stranded assets, and increased emissions. We have presented our findings and recommended safeguards across the country in expert testimony, comments, and published reports.

Data Center Tariffs: Synapse has provided testimony, comments, and expert advice regarding proposed tariffs in Delaware, Michigan, Missouri, New Mexico, Pennsylvania, Texas, and Wisconsin.

Resource Planning: Synapse has supported clients in filing testimony and comments on data center load growth in utility IRP dockets in Arizona, Georgia, Iowa, and Virginia.

Certificate of Need Dockets: Synapse experts have filed testimony on the need for new generation resources to serve large load in Georgia, Iowa, Kansas, Louisiana, North Carolina, Virginia, and West Virginia.

Policy Engagement: Synapse experts have presented on large-load strategies before the North Carolina Utilities Commission and examined impacts of large loads on behalf of state agencies in Delaware and Pennsylvania.

Synapse’s Approach

Cost of Service Methodologies

Synapse cost allocation experts assess the incremental costs large loads impose on the grid and recommend how those costs should be recovered—along with embedded costs—so other customer classes aren’t left footing the bill.

Evaluation of Need

Synapse’s resource planning team reviews large-load forecasts and near-term proposed resource additions in IRP, CPCN, and rate case proceedings, with a focus on ensuring that new builds be tied to firm customer commitments.

Clean Energy Procurement

Synapse procurement and rate design experts weigh in on tariffs and procurement requirements that enable large loads to advance clean energy and decarbonization goals without shifting costs to others.

Power System Modeling

Synapse’s modeling team uses the EnCompass and SERVM models to quantify the cost, emissions, reliability, and market-price impacts of data center load growth under alternative resource portfolios.

Customer Protections

Synapse data center experts evaluate large-load tariffs and contracts, including site control requirements, contract length, exit fees, minimum billing demand, and credit assurances and outline recommendations to limit cross-subsidization and stranded-asset risk, drawing on best practices from across the country.

Recent Project Work

Direct Testimony of Devi Glick before the Louisiana Public Service Commission in two dockets related to Meta’s $50 billion data center investment in Louisiana.
Direct testimony of Lucy Metz in Georgia Power’s capacity certification dockets related to 10 GW of new proposed capacity to meet prospective data center load.
Direct testimony of Synapse rate design experts in data center tariff dockets for DTE and Consumers Energy in Michigan dockets.