Principal Tom Chapman Featured in The Hub on How Data Center Growth Could Affect Electricity Costs
In an interview with Canadian digital news outlet The Hub, Brattle Principal Tom Chapman discussed how increasing electricity demand from AI data centers could affect electricity costs and investment in Canada’s power systems.
Mr. Chapman explained how large new customers could help spread fixed transmission and system costs across a broader base of electricity users, while also supporting investment in infrastructure that could enable additional generation. He also discussed the potential role of data centers as major customers for Ontario’s planned nuclear generation and the importance of ensuring that new loads contribute appropriately to the costs of the infrastructure needed to serve them.
“By attracting new loads and adding to the rate base, some of those fixed system costs will now be spread over – be paid for by – more consumers,” says Chapman. “Everybody’s unit costs should come down a little bit.”
The full story can be found below.
