CALGARY, Alberta (April 29, 2025) — Enverus Intelligence® Research (EIR), a subsidiary of Enverus, the most trusted energy-dedicated SaaS company that leverages generative AI across its solutions, has released a report examining how much load can be connected at different independent system operators (ISOs) without the buildout of new network infrastructure. The report also points out some considerations that limit the ability of data centers to commit to demand response, such as limited on-site generation capacity.
“With the data center boom comes high levels of competition. Data centers need to move fast and will therefore be looking for the quickest way to connect to the grid,” said EIR Principal Analyst Juan Arteaga.
“We estimate that the Pennsylvania-New Jersey-Maryland (PJM) and Midcontinent Independent System Operator (MISO) have the greatest opportunity for data centers to connect to the grid, as long as operators commit to load reduction during peak load periods. Demand response also means higher utilization of generation resources during off-peak periods — which is especially prominent in the California Independent System Operator (CAISO).”
Key takeaways from the report:
- Data center operators seeking a first-to-market advantage are looking for faster grid connections than ISOs can currently offer. Demand response (DR) offers a method for them to utilize stranded infrastructure during off-peak periods.
- More commitment to DR increases the load that could be added to the grid. EIR estimates that at 100 hours of DR (1.1% of the year), the ISOs that can add the greatest loads are PJM (11.9 GW), MISO (8.2 GW) and CAISO (5.8 GW).
- Additions as a percentage of peak load are low in PJM (8%-18%) and MISO (8%-16%), but higher in CAISO (14%-28%), indicating greater resource utilization in CAISO despite fewer total additions.
- PJM and MISO’s marginal load additions per hour of DR are the highest at 33 GW and 21 GW/hour, while CAISO’s is moderate at 13.9 GW/hour.
- Since data centers demand high reliability and minimal downtime, they are less suitable for DR programs. In contrast, cryptocurrency mining is a good fit for DR as operations are more flexible.
Juan Arteaga will present these findings at EVOLVE 2025, a conference where visionaries converge to shape the future of energy. The conference will be held May 12-15, 2025, at the Hilton Americas in downtown Houston (1600 Lamar St, Houston, TX 77010).
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About Enverus Intelligence® Research:
Enverus Intelligence ® | Research, Inc. (EIR) is a subsidiary of Enverus that publishes energy-sector research focused on the oil, natural gas, power and renewable industries. EIR publishes reports including asset and company valuations, resource assessments, technical evaluations and macro-economic forecasts; and helps make intelligent connections for energy industry participants, service companies and capital providers worldwide. Enverus is the most trusted, energy-dedicated SaaS company, with a platform built to create value from generative AI, offering real-time access to analytics, insights and benchmark cost and revenue data sourced from our partnerships to 95% of U.S. energy producers, and more than 40,000 suppliers. Learn more at Enverus.com.
