NEW YORK, July 31 (Reuters) - PPL Corp's ( PPL )
joint-venture with Blackstone to build power plants for Big Tech
data centers has secured land and is in discussions with
potential customers, gas pipeline companies and turbine
manufacturers, executives with the company said on Thursday.
U.S. electricity demand is surging to new heights from
energy-intensive data centers needed for the expansion of
artificial intelligence, raising reliability and cost concerns
for power grids growing short on supplies.
"Meeting this unprecedented demand growth will require an
unprecedented response and will require all market participants
to be part of the solution," PPL CEO Vincent Sorgi said on an
earnings call with investors.
On the call, PPL separately said that it was extending the
life of retiring coal-fired power generation in Kentucky to meet
growing electricity consumption.
PPL, a major electric utility company that primarily
operates in Pennsylvania, announced the joint-venture earlier
this month at an AI energy summit in Pittsburgh that was
attended by U.S. President Donald Trump, giant technology
companies and power industry executives.
Energy companies that previously only ran power lines are
increasingly considering alternative options to ramp up power
supplies, including by developing their own power plants.
Data center demand in PPL's territory has reached 14.5
gigawatts, equivalent to what could power all of the homes in
the largest U.S. state of California.
PPL is also supporting state legislation in Pennsylvania
that would allow fully-regulated utilities to own power
generation, which is currently not allowed in the state.
The joint venture with Blackstone does not include PPL
Electric utilities or its regulated subsidiaries.