Rex
18d ago
True in Texas. Not true in mid Atlantic and northeast. Sure we can just build things. We can also go to mars or cut Medicare and social security. But we’re not going to. For many many reasons.
And I’m not sure if you realize this, but increasing nameplate capacity 30% in 2 decades is absolutely awful.
Rex
18d ago
It’s worse than environmentalists. If it was just that I’d have some hope. It’s the bureaucracy, regulation, cost disease, NIMBYism, and a general atrophy of industrial construction capacity.
Existing electricity price increases aren't correlated to data center builds
I don’t understand your point. Please elaborate. Evan assuming your point is accurate, I don’t think it matters.
You talked about how there has been no (little?) electricity price increase increase to date and that it’s only future price projections that have increased. I can assure you that when a power plant in 2026 is signing a 15-25 year power purchase agreement, those future energy price projections are the #1 thing they’re basing their price negotiations on. There’s a handful of companies that put out these projections and everyone makes long term financials decisions on them. The feedback loop on how these contracts affect the current price of power should be obvious, but I can elaborate if needed.
Rex
18d ago
I work in energy (electricity) and this is part true and part untrue. Yes, electricity prices have gone up modestly, with bigger increases projected in the next 5 years.
The reasons prices are set to increase is that we are really slow to put new generation on the grid. And the amount of data centers under construction, let alone planned, is much bigger than what is already operational.
It’s a very simple supply and demand function. Load increases faster than supply. DCs buy power through PPA contracts directly with generators. But that crowds out offtake from the generators that would otherwise go to merchant markets or supply agreements with utilities.
We are average at best at building new power supply.
I expect retail electricity prices to be electoral politics by 2030, maybe even 2028.
Listen, I’m as big a Trump guy and MAGA guy as there is. I was first on the train back in 2015. Even if trump is right here, and he may be, this was was a complete and utter disaster due to the colossal waste of money, lives, and opportunity. In the beginning of ‘26 the economy was getting back on track, tariffs had no meaningful effect on economy, inflation cooling, lots of optimism. It all vanished. And this has been a complete waste of a year. Sadly he sold us out for Israel. I don’t know if I’ll forgive him, Israel, or the rest of the GOP neocons for it. Though admittedly 2 of the 3 were already on my shit list.
Who cares if Iran loses? I’m sure I could come up with 100 problems more important than Iran - pre and post war.
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