What's Happening?
Governor Mark Gordon of Wyoming has signed Executive Order 2026-03, titled 'Data Centers the Wyoming Way,' which emphasizes the importance of data center development for national security and economic growth. The order outlines principles to ensure Wyoming remains
competitive in attracting investment while protecting ratepayers, natural resources, local communities, and the state's way of life. The order directs state agencies to coordinate under a new 'Wyoming Data Center Development Framework,' although it does not prescribe specific regulatory policies. This move comes as Wyoming contemplates power supply regulations for AI and data centers, with developers proposing stand-alone power plants to meet the massive electrical demand. The Wyoming Public Service Commission recently rejected a request from Anschutz Corporation subsidiaries to declare their direct power-to-customer project as not a public utility, highlighting ongoing regulatory challenges.
Why It's Important?
The development of data centers is crucial for Wyoming's economic growth and national security. By establishing a framework for data center development, the state aims to attract significant investment and create local jobs. However, the lack of specific regulatory policies presents challenges for developers and could impact the pace of development. The decision by the Wyoming Public Service Commission to reject Anschutz's request underscores the complexities of regulating new power generation projects. This situation highlights the need for clear regulatory guidelines to balance the interests of developers, utilities, and consumers. The outcome of these regulatory decisions will have significant implications for Wyoming's ability to attract and sustain large-scale data infrastructure projects.
What's Next?
The Wyoming Public Service Commission is set to hold a public hearing on its proposed non-utility generator rules on August 5. This hearing will be crucial in determining the regulatory framework for future data center developments. Additionally, the Wyoming Legislature is considering various approaches to address the power supply challenges, including potential taxation on electricity producers. These developments will be closely watched by industry stakeholders, as they will shape the future of data center development in the state.
