2026 State of Reliability

NERC’s 2026 State of Reliability report shows that large computational loads create a two-way reliability challenge. The grid must build and operate enough generation, transmission, and reserves to serve them, while also remaining stable if hundreds or thousands of megawatts suddenly disconnect. NERC warns that “the reliability challenges from large loads will increase” as these facilities become more prevalent and that larger or geographically concentrated facilities could produce “measurable frequency or voltage stability issues.”

CRE, or BYOP in Texas, gives states a common sense parallel path. It allows qualifying new loads to finance physically islanded power systems so that their electricity-supply risks, equipment risks, and sudden load changes remain primarily with the project and its investors rather than being integrated into the public grid and imposed on existing customers. NERC does not specifically recommend CRE/BYOP, but its findings demonstrate why policymakers should provide an alternative to forcing every exceptionally large new load onto the interconnected system.

https://www.nerc.com/globalassets/programs/rapa/pa/nerc_sor_2026_overview.pdf