3 ms·
I don't think the mechanism is that different, and even if it was Europe, etc would have the same issue - data centers would still bid up the price for existing
by skew-aberration 3mo ago
I don't think the mechanism is that different, and even if it was Europe, etc would have the same issue - data centers would still bid up the price for existing capacity, and the future capacity added to accommodate the dcs would be added at a higher marginal rate too because scarcity of new supply + base load nature of dc loads. So the problem will get worse before it gets better
- doikor 3mo agoYes datacenters inccrease the prices here but they don't get a cheaper price then everyone else. There is a massive difference there.
- skew-aberration 3mo agoConcrete examples? Quick google only shows small discounts for DCs relative to other wholesale industrial consumers, which could be partially explained away by the flat load, lack of stability concerns, no need for power factor correction hardware, etc. I think 'bidding up the market' is the dominant mechanism, here in Australia (spot market + futures) consumer prices are projected to increase 26%.