Pick solar over risky natural gas to power Iowa data centers | Opinion
An opinion piece argues that Iowa is becoming overly dependent on natural gas to power new data centers, leading to potential price shocks and infrastructure bottlenecks. The author advocates for state and local policymakers to implement measures like banning non-disclosure agreements, requiring new large-load tariffs for data centers, and mandating curtailment plans to prevent peak load outages. The article suggests prioritizing renewable energy, particularly solar and storage, to meet electricity demand.
Andrew Johnson, leader of the Clean Energy Districts of Iowa, warns against Iowa's increasing reliance on natural gas to power new data centers, which he argues is a fuel crisis rather than an energy crisis. He highlights that Alliant and MidAmerican have applications before the Iowa Utilities Commission to build 3,845 MW of natural gas generating plants, primarily to meet data center demand, which could significantly increase Iowa's natural gas consumption.
Johnson contends that this dependence on imported natural gas exposes Iowans to volatile wholesale market prices, pipeline costs, and price spikes, citing industry analyses predicting rising prices due to AI power demands and LNG exports. He advocates for proactive policymaker intervention at state and local levels to protect ratepayers.
He proposes several measures, including banning non-disclosure agreements for data centers to ensure transparency, requiring new large-load tariffs (LLT) so data centers bear all service costs without cross-subsidization, and mandating curtailment plans for large electrical loads to prevent grid outages. Johnson emphasizes that renewable energy, such as solar plus storage, is the most cost-effective and reliable solution for long-term grid stability and fuel independence.
While acknowledging community concerns about land use for solar, Johnson suggests compromises like state solar permitting guidelines for an initial percentage of county acreage, arguing that such measures are crucial to ensure an affordable and reliable power grid for Iowa's future amid the data center boom.