On January 8, 2025, NERC released its review of an incident where the sudden loss of approximately 1,500 MW of data center load in Virginia exposed major reliability vulnerabilities in the Bulk Electric System (BES). This unanticipated event triggered voltage spikes and frequency imbalances, highlighting the need for system planners and operators to anticipate and mitigate these risks nationwide. 

What Happened?

BES operators were not anticipating the sudden large loss of voltage-sensitive data center load. Typically, system planning accounts for generation losses, but this incident revealed a gap in planning for simultaneous load drops caused by common-mode control failures. The immediate consequence was a sharp frequency rise, followed by rapid voltage rises, forcing operators to intervene to restore stability. Operators took action to reduce the voltage to within normal operating levels. However, as the prevalence of data center load increases, the possibility of similar disturbances increases. The risk to effective balancing of generation and load along with frequency control is significant. The incident analysis is intended to make power system operators and planners aware of this reliability risk. 

Next Steps

TRC clients are advised to read the Large Load Loss Incident Review in detail and become acquainted with the technical reliability related consequences of similar large simultaneous load losses on system stability. It is important to consider the consequences of connecting data centers currently being proposed in many parts of North America. TRC’s power system experts help assess vulnerability on the grid and work to address reliability risk issues proactively. 

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About Our Solutions

TRC’s approach to power system development and operation balances solutions that incorporate appropriate standards, regulatory requirements, best practices and operational goals and budgets. Our work for public and private sector utility clients is a testament to our understanding of NERC compliance related aspects of your business. Our successful application of technology solutions in a constantly evolving business and regulatory landscape will provide you with confidence regarding your power system compliance programs. Our power system experts help you stay ahead of changing regulatory expectations because they stay engaged with the regulatory process and know how to plan, design and install programs that address your financial, technical and scheduling goals including compliance with changing NERC standards and guidelines as well as industry “best practices” and the latest technology developments. 

This regulatory update is a service to TRC’s utility clients, helping keep you informed of issues that impact your company’s electric reliability risks along with related topics regarding future regulatory developments to help you achieve your company’s business goals.  

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David Sanchez

David Sánchez is a strategic leader with over 24 years of experience in the electric utility industry, specializing in power delivery such as maintenance, operations, power quality, distribution system planning, design, protection, system analysis, construction standards, asset management, reliability and joint use. He has a proven track record of implementing business strategies, enhancing organizational performance and ensuring adherence to mission, vision and values to drive growth and operational excellence. Currently, he serves as the Director of the Power System Studies Group, overseeing quality, financial and administrative operations, as well as staff performance and development. His expertise spans optimizing operational efficiencies, maximizing profitability across diverse industries and developing innovative business solutions focused on efficiency, scalability and customer satisfaction. You can reach David at DSanchez@TRCcompanies.com