The Role of the U.S. Electric Distribution System in Serving Data Center and Other Large Loads
The rapid expansion of data centers in the United States is reshaping how the electric distribution system must plan for and accommodate large load interconnections. This report evaluates the role of the distribution grid in serving these loads, from small edge facilities to hyperscale campuses. Using national datasets, utility filings, and industry studies, we assess demand growth, reliability requirements, interconnection thresholds, and infrastructure needs at substations and feeders. The analysis highlights the mismatch between fast data center development timelines and slower utility planning and construction cycles, as well as strategies such as phased energization, on-site generation, hosting capacity maps, and structured interconnection frameworks. While focused on data centers, the insights also apply to other high-density loads such as advanced manufacturing, hydrogen production, and electrified transportation. The report concludes with approaches to align planning processes, transparency tools, and regulatory frameworks so utilities can manage new large loads in ways that support a reliable and resilient grid.