Data Center Demand Driving Need for PA Energy Sources

Western Pennsylvania’s energy resources are coming to the forefront as shifting federal priorities and rapidly increasing demand for AI and data centers converge, speakers at the Oct. 21 PA Energy Ecosystem Conference emphasized.

The conference, hosted by the Washington & Jefferson College Center for Energy Policy and Management, brought together leaders in energy, policy, and industry for a daylong discussion of the rising need for energy and how this region’s natural gas and coal resources can help to meet that demand. Speakers also discussed how policy shifts at the state and federal level are boosting fossil fuel use, while at the same time the Center continues its work into emerging technologies like geothermal and distributed solar energy. Director Corey Young noted that a white paper on distributed energy and community solar written by the Center for Energy Policy and Management was recently rolled out.

Kevin Sunday of McNees Government Relations laid out a presentation of how rising data center demand is driving the buildout of new power generation sources. He noted that Pennsylvania is attracting more data center developers as regions such as Northern Virginia and Texas are reaching their capacity. Because of the state’s ample natural gas resources and proximity to large East Coast cities, Pennsylvania presents an attractive alternative. Gov. Josh Shapiro supports those efforts, promoting increased economic development using an all-of-the-above energy strategy, noted Adam Walters, senior energy adviser for the Department of Community and Economic Development.

One of those proposed developments is the Fort Cherry power generation and data center project being proposed in Washington County by Imperial Land Corp., with natural gas supplied by Range Resources. August Seibel of Liberty Power Innovations explained how the company would use its modular gas units to supply scalable power to the data center campus in 25-megawatt chunks as a behind-the-meter solution that does not have to connect to the electric grid. These units, which are built off-site, can be put in place in less than 18 months to provide power, while building a natural gas generation facility takes years.

Kim Price of EQT also noted that the nation’s largest gas producer is capable of supplying increasing amounts to meet both domestic and overseas demand. EQT has already reached agreements to supply gas to several large data center developments, including the Homer City Redevelopment project in Indiana County. Matt Mackowiak of Core Resources discussed coal’s continuing role in the energy mix, as the need for baseload power continues to be at the forefront.

The afternoon speakers focused on a project by the Central Appalachian Partnership for Carbon Storage Deployment to map out the potential of that technology in this region to reduce emissions from fossil fuel generation by storing carbon dioxide in underground rock formations.

The event provided an informative update of the current energy landscape and how this region’s resources can contribute to national security, energy stability, and economic development. The speakers’ presentations will be available on the center’s website, wjenergy.org.