News Stories

Sponsored by Earth Etch. Regulatory insight and compliance solutions for today’s energy markets.

AEP Ohio Files Settlement Agreement With Stakeholders On Data Center Interconnection Rules

Dueling Stipulations Now Under Consideration

Category: Ohio
Related Categories: AEP Ohio, Data Centers, Electric, Large Loads, Utility

AEP Ohio files proposed settlement agreement that sets terms and conditions for connecting data centers to the grid.

If the most recent filed settlement agreement is approved by the PUC, new data centers larger than 25 MW would have to pay for at least 85% of the energy they expect to need each month, even if they use less, to cover the cost of infrastructure needed to bring electricity to the facilities, AEP Ohio said in a news release.  

The AEP agreement also requires data centers to show they are financially viable and able to meet certain requirements, as well as to pay an exit fee if their project is canceled or they can’t meet obligations set in their electric service agreement contracts, AEP Ohio said. The requirements would be in place for up to 12 years, including a 4-year ramp-up period.

In this latest filed settlement, the parties seek approval from Public Utilities Commission of Ohio to approve this latest  settlement agreement between signatories of second filed stipulation include OCC, AEP Ohio, PUCO  Staff, OCC, Ohio Energy Group Ohio,  Partners of For Affordable  Energy and Walmart.   

As previously reported, earlier this month, a group of data center industry leaders and large users filed their own settlement agreement separate agreement, which was not supported by AEP Ohio, the PUCO Staff, OCC or OEG. 

See docket link for all filed documents.

AEP Ohio News Release  (10/23/2024)
AEP Settlement Agreement (10/23/2024)
24-508-EL-ATA
ATA-Application for data center tariff approval