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Data Center Demand: The Biden-Harris Energy Transition Will Just Have To Wait

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A nuclear power plant

From the Daily Caller News Foundation 

 

By David Blackmon

Google has made big news in the energy space over the past week, and all of it conflicts with the Harris-Biden goals of a glorious future powered entirely by windmills, solar arrays and presumably some combination of Unicorn fur and fairy dust.

Last week, the Washington Post ran a major story detailing the fact that Nebraska’s Omaha Public Power District (OPPD) will be forced to keep two coal-fired power generation units running for years longer than previously planned to accommodate the electricity needs of new data centers being built in the area by Google and Meta. Originally scheduled to be shuttered at the end of 2023, the units will now remain active through 2026, and local residents and activists expressed skepticism they will be shut down even then.

“A promise was made, and then they broke it,” the Post quotes local resident Cheryl Weston as saying. “The tech companies bear responsibility for this. The coal plant is still open because they need all this energy to grow.”

Well, yes, they do. Given the way supposed deadlines and promises related to this government-forced energy transition have been consistently extended and broken, Weston’s skepticism seems well-grounded.

By now, most everyone is aware of the enormous new demand the proliferation of data centers is placing on the U.S. regional power grids. The new demand from Big Tech is being added to an electric system already strained by huge demands from crypto mining, EV charging and general population growth and economic expansion.

This demand growth threatens to overwhelm the ability of power companies to build new electric generating capacity rapidly enough to keep up. This is especially true for companies operating in areas that restrict such new generating capacity to be “green,” i.e. intermittent wind and solar.

In the Washington Post’s story, the OPPD attributes the need to keep the coal units running on the slow development of anticipated new wind and solar capacity. But that avoids the reality that these data centers and other big power demand hogs require reliable generation, 24 hours a day, 7 days every week. The limitations of intermittent, weather-dependent wind and solar, even when combined with current backup battery tech, leaves companies like Google and Meta demanding more reliable, consistent generation.

This reality is not limited to the Omaha area. On Monday, the Wall Street Journal reported that Google and parent company Alphabet are also backing a new company engaged in the development of a new generation of modular nuclear reactors as a means of securing its future electricity supplies. In a deal with nuclear startup Kairos Power, Google commits to buying power from seven Kairos reactors when they go live in the coming years.

“The end goal here is 24/7, carbon-free energy,” Google/Alphabet senior director for energy and climate Michael Terrell said. “We feel like in order to meet goals around round-the-clock clean energy, you’re going to need to have technologies that complement wind and solar and lithium-ion storage.”

These developments involving Google and Meta come on the heels of other recent stories detailing efforts by tech giants to secure their future power needs. In early October, Constellation Energy announced it will reactivate its Three Mile Island nuclear plant in Pennsylvania to feed the power needs of nearby data centers under development by Microsoft. Constellation announced a similar deal in July to power data centers owned by Amazon from other nuclear facilities it operates.

The securing of their own power supplies could well become a requirement for big tech companies in some regions, as regulators and grid managers become increasingly concerned about their potential to drain regional grids of needed capacity to keep the lights on for everyone else. Bloomberg recently reported on comments by Thomas Gleeson, Chairman of the Public Utilities Commission of Texas, warning data center developers they should plan to provide at least part of their own power needs if they wish to connect to the grid in a timely fashion.

What it all means is that demand for reliable, 24/7 power supplied by nuclear, natural gas and even coal is going to continue rising for the foreseeable future. The glorious energy transition will just have to wait for reality.

David Blackmon is an energy writer and consultant based in Texas. He spent 40 years in the oil and gas business, where he specialized in public policy and communications.

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Kennedy to cut 10,000 HHS employees to reduce ‘bureaucratic sprawl’

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The changes are expected to reduce the agency’s headcount from 82,000 to 62,000 full-time employees.

Robert F. Kennedy Jr. announced a significant restructuring of the U.S. Department of Health and Human Services on Thursday in a move to streamline the huge federal agency and cut costs.

Kennedy plans to trim about 10,000 employees from the agency’s workforce in addition to employees who left as part of a Deferred Resignation Program, similar to a buy out, earlier this year. The move is expected to save about $1.8 billion.

Kennedy said the restructuring won’t affect the agency’s critical services. When combined with HHS’ other efforts, including early retirement, the changes are expected to reduce the agency’s headcount from 82,000 to 62,000 full-time employees. The restructuring will also align the department with Kennedy’s goals for a healthier U.S. population.

“We aren’t just reducing bureaucratic sprawl. We are realigning the organization with its core mission and our new priorities in reversing the chronic disease epidemic,” Kennedy said. “This Department will do more – a lot more – at a lower cost to the taxpayer.”

Kennedy also said the restructuring of the department’s 28 divisions will get rid of redundant units, consolidating them into “15 new divisions, including a new Administration for a Healthy America, or AHA, and will centralize core functions such as Human Resources, Information Technology, Procurement, External Affairs, and Policy.” Regional offices will be reduced from 10 to 5.

The overhaul will implement the new “HHS priority of ending America’s epidemic of chronic illness by focusing on safe, wholesome food, clean water, and the elimination of environmental toxins. These priorities will be reflected in the reorganization of HHS.”

Kennedy also said the restructuring would improve taxpayers’ experience with HHS by making the agency more responsive and efficient. He also said the changes would ensure that Medicare, Medicaid, and other essential health services remain intact.

The Administration for a Healthy America will combine multiple agencies – the Office of the Assistant Secretary for Health, Health Resources and Services Administration, Substance Abuse and Mental Health Services Administration, Agency for Toxic Substances and Disease Registry, and National Institute for Occupational Safety and Health — into a single, unified entity, Kennedy said.

The Centers for Disease Control and Prevention will get the Administration for Strategic Preparedness and Response, which is responsible for national disaster and public health emergency response.

“Over time, bureaucracies like HHS become wasteful and inefficient even when most of their staff are dedicated and competent civil servants,” Kennedy said. “This overhaul will be a win-win for taxpayers and for those that HHS serves.”

Among the cuts: The U.S. Food and Drug Administration will shed about 3,500 full-time employees. Officials said the reduction won’t affect drug, medical device, or food reviewers, nor will it impact inspectors. The CDC will drop about 2,400 employees. The National Institutes of Health will cut about 1,200 employees. The Centers for Medicare & Medicaid Services will cut about 300 employees. The reorganization won’t affect Medicare and Medicaid services, officials said.

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Feds Spent Roughly $1 Billion To Conduct Survey That Could’ve Been Done For $10,000, Musk Says

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From the Daily Caller News Foundation

By Hailey Gomez

The Department of Government Efficiency’s (DOGE’s) Elon Musk said Thursday on Fox News that the group found the federal government spent almost $1 billion on a survey that could’ve only cost thousands.

Following President Donald Trump entering office in January, his administration pushed for Musk and DOGE to comb through the government’s spending and identify potential cuts to save taxpayer dollars. On “Special Report with Bret Baier,” the Fox News host sat with Musk and his DOGE team and asked the billionaire what has been the most “astonishing thing” he’s witnessed so far in this process.

“The sheer amount of waste and fraud in the government,” Musk said. “It is astonishing. It’s mind-blowing. We routinely encounter waste of a billion dollars or more, casually.”

“For example, like the simple survey that was literally [a] 10 questions survey. You could do it with SurveyMonkey, [which] would cost about $10,000. The government was being charged almost a billion dollars for that,” Musk added.

WATCH:

Baier could be seen interrupting Musk as he sounded astonished, later asking, “For just a survey?”

Musk responded and said the survey was essentially pointless as it had no “feedback loop.”

“A billion dollars for a simple online survey — ‘Do you like the National Park?,’ and then there appeared to be no feedback loop for what would be done with that survey,” Musk said. “So the survey would just go into nothing. It was insane.”

In February, Democrats’ opposition to Musk’s and DOGE’s place in the Trump administration began to ramp up after the billionaire announced during an X discussion that he and the president had agreed to upend the U.S. Agency for International Development (USAID). Musk warned the agency was wasting billions of taxpayer dollars.

Some of the programs funded through USAID had not only attempted to advance a radical leftist agenda worldwide, but some had a high risk of landing in the Taliban’s hands and also aiding an organization linked to the Wuhan Institute of Virology.

Baier told Musk how he and DOGE technically had 130 days as a “special government employee,” asking if he believes he will be able to complete his task in the time frame allotted.

“I think we will have accomplished most of the work required to reduce the deficit by a trillion dollars within that time frame,” Musk said.

“We are cutting the waste and fraud in real time. So every day like that passes, our goal is to reduce the waste and fraud by $4 billion a day, every day, seven days a week. So far we are succeeding,” Musk added.

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