Good morning. Here’s one way to curb soaring energy costs: roll out virtual power plants. Utility VPP programs could slash residential bill increases by more than half, according to a new Brattle Group report (which researchers prepared for VPP operator Everyday Electric). But for major payoffs to pan out, utilities need plenty of customer buy-in, ASAP. Brattle’s suggestion? Tap into the capacity hiding in existing resources, like smart thermostats. 🔎
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We asked industry experts how midterms candidates are handling the energy conversation. Hint: not great.
In a few weeks, voters will have their say in (arguably) one of the most energy-focused elections in US history. This midterms season, the growing grid squeeze ranks as a top issue among candidates vying for seats everywhere from state governments to Congress.
To cut through the campaign trail noise, we asked experts in the Energy Central orbit one simple question:
What are midterm campaigns getting wrong about energy?
Industry leaders pointed to two major themes: affordability and data centers.
On affordability: Candidates on the federal and state levels have promised to tame soaring energy bills. But hopefuls may miss key nuances in their campaign messaging.
For one, some politicians have claimed that the generation mix dictates bills. Wisconsin gubernatorial candidate Tom Tiffany (R) has blamed rising rates on the renewable transition, a common refrain from Republican lawmakers (and the Trump administration).
The reality? During Q3 2026, most utility rate-hike requests stemmed from increasing transmission & distribution spending, according to analysis by the nonprofit organization PowerLines.
These investments have grown considerably in recent years, noted Mike Beehler, a transmission engineer and former VP at consulting firm Burns & McDonnell. Two decades ago, they were “hardly measurable on somebody’s electric bill,” he told Energy Central. But that’s changing due to grid hardening efforts, the renewable rollout, and other ongoing trends.
And while energy affordability gets considerable airtime these days, politicians tend to avoid defining what it actually means, Beehler pointed out. Any answer, he argued, must prioritize customers living near the poverty line.
On data centers: With midterms approaching, some politicians are calling to pause data center growth (or, in some cases, halt it altogether). But, according to experts, that’s not a long-term solution.
Rather than releasing blanket statements against data centers, campaigners should acknowledge that our “lives are already inextricably tied to AI,” said Mark Gabriel, President and CEO of United Power.
With that in mind, candidates should direct data centers to cover the costs of new generation and grid infrastructure, Larry Eisenberg, principal at sustainable building firm Ovus Partners 360, told us.
The bottom line: Political candidates aren’t energy wonks (for the most part). So they don’t always “understand the complexity and interrelations of the energy systems with the economy and society,” said Charles Bayless, former CEO of Illinova Corporation and Tucson Electric Power. ”They cannot predict the unintended consequences, the second- and third-order effects of changes to regulation of the energy system.”
Bayless noted that energy system decisions impact everything from carbon emissions to the job market. So voters must look beyond the clear-cut positions on campaign agendas—and consider the long-lasting tradeoffs of each candidate’s gameplan. 🔮
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FERC has paused MISO’s proposal to fast-track generation serving data centers.
The proposal would allow certain generation projects (that share a substation with large loads) to skip MISO’s interconnection queue. Instead, they’d undergo a speedier 90-day review. Google, Xcel, and clean energy trade groups have voiced their support, while some environmental orgs worry it could end up adding costs for utility customers.
Not so fast: MISO was hoping to kick off the process on Oct. 18, but FERC is requesting more info, including: 1) A justification for circumventing the standard interconnection rules and 2) plans for these generators during outages. Plus, FERC said, MISO has some small typos to fix (awkward).
Rural co-ops are warning that federal restrictions on foreign-made grid equipment could raise costs and delay projects.
Power struggle: President Trump’s August executive order could threaten imported grid supplies. Now, the National Rural Electric Cooperative Association is urging the DOE to “carefully account for the realities of utility infrastructure planning and procurement,” and protect the projects already underway. NRECA said the order risks billions in stranded costs, and could harm grid reliability.
Also on the DOE’s desk: The agency announced it will hand TVA $250M for 84 transmission and distribution projects across eight states. The power provider will also receive $331M in cost-share funding. These projects are set to add roughly 2.5 GW of grid capacity.
As wind picks up in New England, gas is set to grow in Pennsylvania. 💨🔥
Hold onto your hats: Between Jan-Sep 2026, average monthly wind generation was 68% higher than over the same period last year. Those nine months brought 4.6 GWh of wind generation, slightly higher than last year’s total. Why? So far this year, ISO-NE has seen a nearly 50% increase in blustery capacity.
Over in PA: The state’s natural gas capacity is slated to grow >15% by 2030, mostly due to rising data center demand. This trend is also driving more drilling in the Keystone State, where the tally of new wells rose by around 45% from 2024-2025.
Plus: AEP has inked a deal to buy up to 1.6 GW of small generators from Mainstream Energy. It’s unclear where in the company’s large footprint—which spans parts of the South and Midwest—they’ll land, and whether they’ll be placed directly at data centers.
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🔁 Get AI adoption right—here’s how to keep humans in the loop. We got the rundown from Peter Barnes, an expert in CGI’s Utilities Solutions practice. Hear how our partners at CGI help utilities harness AI with built-in guardrails:
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