Utility firms go nuclear over Amazon datacenter power deal

Utility firms AEP and Exelon have raised objections with the Federal Energy Regulatory Commission over a power deal between Talen Energy's nuclear plant and Amazon. Amazon purchased a nuclear-powered datacenter from Talen Energy, receiving 480 MW with a potential upgrade to 960 MW. A new agreement between Talen and PJM Interconnection, the regional power grid operator, has sparked controversy. AEP and Exelon argue that Amazon and Talen are benefiting unfairly, potentially leading to increased costs for other ratepayers. The complaint questions the datacenter's use of the power grid and its impact on PJM's services. AEP and Exelon are concerned about potential costs and the datacenter's ability to access backup power in case of outages. The dispute highlights broader implications for datacenters and power firms, with FERC's decision expected to set a precedent. The complaint emphasizes the need for a fair resolution given the increasing demand for datacenter power and the evolving energy landscape. Talen defends the agreement, stating it promotes innovation and meets the needs of a changing industry. Amazon has not commented on the matter.