On June 18, 2026, against the backdrop of skyrocketing growth in demand for electricity, due in part to the rapid proliferation of data centers, the Federal Energy Regulatory Commission (FERC or the Commission) issued six “show cause” orders under Section 206 of the Federal Power Act (FPA), directing each of the six Regional Transmission Organizations (RTOs) and Independent System Operators (ISOs) under its jurisdiction, and the transmission owners within them, to justify or reform their rules governing how data centers, manufacturing facilities, and other large energy users connect to the electric grid.
While the orders do not change any tariff, prescribe rules that the RTOs/ISOs must adopt, impose immediate obligations on individual customers, or apply to areas of the country not governed by those RTOs/ISOs, they represent significant federal action to “expedite the integration of large loads onto the transmission system, providing the speed to power that is critical to
