Data centers could drive electric utility AES toward natural gas, away from renewables

The electric utility that serves Indianapolis is prepared to add a lot of natural gas to serve data centers that move into its territory. AES Indiana went over its plan for the next decade and a half with stakeholders Wednesday.

If the company signs contracts with data centers, it plans to build a 700 megawatt natural gas plant — roughly the size of its Eagle Valley facility. It would also add about the same amount of megawatts in gas peaker plants — which only run when energy demand is high.

Patrick Maguire is senior director of commercial with AES. He said because no data center has officially contracted with the utility, it’s too early to say how AES would cover the cost of new gas to serve them…

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