In this Episode
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Host: Todd Snitchler, President and CEO, Electric Power Supply Association
Guest: Aaron Tinjum, Vice President of Energy, DCC
In this episode of Energy Solutions, EPSA President and CEO Todd Snitchler sits down with Aaron Tinjum, Vice President of Energy at the Data Center Coalition, to unpack how data centers and independent power providers can work together to support America’s digital future.
As demand for online services and AI accelerates, Aaron explains how data centers view electricity costs, where they are investing in infrastructure, and why better forecasting and permitting reform are essential.
They also dive into co-location, demand response, and the role of competitive markets in meeting record demand while protecting consumers.
Topics include:
- Why reliable power is central to winning the AI race
- How data centers pay their share of energy and infrastructure costs
- Speed-to-market pressures in both competitive and vertically integrated regions
- The importance of improving load forecasts to guide investment
- Supply chain constraints, including skilled labor forces
- Opportunities for collaboration between data centers, policymakers, and competitive power suppliers
Power Quote:
“Our economy, our daily lives are interwoven with the digital infrastructure provided by data centers.”
AARON TINJUM, VICE PRESIDENT OF ENERGY, DATA CENTER COALITION
Key Takeaways
Reliable Power Is the Most Important Challenge: Without new generation, transmission, and permitting reform, the U.S. risks falling behind in the global AI race.
“There’s growing body of reporting and evidence that countries like China have more than developed sufficient power infrastructure to quickly scale the digital infrastructure they need for their AI capabilities. And if America cannot build, it cannot compete in this race.”
Data Centers are Prepared to Pay Their Way: Beyond full energy costs, operators often fund substations, transformers, and other infrastructure directly.
“Since 2020, residential customers’ share of transmission costs has declined 10% while data center share and other large customers have increased 10%…. And again, I will note that we view a fair share as meeting full cost of service for energy and our members, again, expect that.”
Load Forecasting Must Improve: Underestimating demand has already led to delays and stranded projects, while overestimation risks wasted investment.
“There is also the risk of under-forecasting and under-forecasting has impacted our industry and key primary data center markets. That results in partially constructed projects that are delayed and construction crews being sent home as well.”
Collaboration Is Essential: From permitting reform to co-location, data centers, and competitive power suppliers must work together to find solutions to the rising energy demand.
“So most importantly, to really win this race and meet the moment, it’s going to require practically new partnerships. It’s going to require greater communication and collaboration than ever before across multiple stakeholders from the data center industry, across the energy industry to ensure our national security, maintain our global leadership and support modern economic growth here at home.”
Supply Chains Are a Bottleneck: Equipment shortages, especially transformers, threaten to slow deployment of both data centers and new power plants.
“And I know we’ve been mostly focused on the broader grid challenges as it pertains to sufficient transmission and generation, but supply chain challenges are another important issue facing data center development. And it’s not just our sector. We recognize that some of these shortages and components impact power producers, impact utilities, and others within the energy space.”
Producer: Christina Nyquist, senior director, communications, EPSA
Associate Producer, Audio Editor: Anna Varnell, associate, communications, EPSA
Music Composed by: Let Me Hold That, Ltd.
