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Panelists Debate Future of U.S. Electricity Markets Amid Rising Demand

Panelists weighed whether vertically integrated utilities, wholesale markets or a hybrid model can meet rising demand from data centers and manufacturing, with views split on costs and planning.

  • On Wednesday, The American Enterprise Institute convened energy experts to debate whether traditional utilities or competitive electricity markets best serve Americans as electricity demand surges from data centers and advanced manufacturing.
  • The U.S. electricity industry historically relied on the vertically integrated model where utilities managed generation, transmission, and distribution, but federal regulators encouraged competitive RTOs starting in the 1990s to facilitate wholesale markets.
  • Lighthouse Energy Institute president Devin Hartman argued for competition to address utility cost-of-service failures, while Algonquin Power & Utilities Corporation executive Noel Black defended the vertically integrated model as an "intentionally designed and engineered system."
  • FERC legal adviser Kevin Blake noted success depends on strong governance rather than specific models, echoing Joy Ditto of the American Public Power Association, who emphasized planning coordination's importance.
  • Panelists explored whether a hybrid approach could combine traditional regulation with market competition to keep electricity affordable while meeting growing demand from large-load customers like data centers.
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The PennThe Penn
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Panelists debate future of U.S. electricity markets amid rising demand

(The Center Square) – As electricity demand surges amid the expansion of data centers and advanced manufacturing, a free-market think tank convened energy experts Wednesday to debate whether traditional utilities, competitive electricity markets or some combination of the two offer…

·Indiana, United States
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KTEN broke the news on Thursday, September 24, 2026.
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