Avista pauses 500 MW data center service request for policy alignment
Avista announced it is pausing energy service requests for a potential 500 MW data center to align policy and collaborate with government agencies. The decision follows community concern regarding a previously announced MOU. The company emphasized four guiding principles, including that existing customers will not bear costs and that regulatory approval is required.
*this image is generated using AI for illustrative purposes only.
Avista announced on June 12, 2026, that it is pausing the processing of energy service requests from a new large data center developer to allow time for broader policy and community alignment. The utility is taking additional time to evaluate the processing of these requests as it seeks to partner with governmental agencies on creating a coordinated planning process. The decision specifically impacts negotiations concerning a potential 500 MW data center and follows recent community interest and concern related to a previously announced Memorandum of Understanding (MOU).
Heather Rosentrater, Avista President and CEO, stated that the company has heard questions and concerns from customers, community members, and local leaders. She noted that this input has demonstrated a need for a broader coordinated planning effort, which Avista will actively participate in to ensure the process is transparent and in the long-term interest of the region.
As a regulated utility, Avista is required to review requests for service, including large proposals, though the developer must also secure all necessary permits. The company highlighted that no single entity decides if a project will proceed, as multiple reviews and approvals are required. Avista noted that while it has served large load energy customers for over 137 years, the scale of current data center requests and the level of public interest are unprecedented.
Avista outlined its approach to providing energy service to potential large data center developments through four guiding principles. These principles emphasize that existing customers will not pay for the costs of serving a new large customer and that safeguards will prevent expense shifting. Additionally, the company stated that system reliability is non-negotiable, requiring engineering studies and system upgrades before service begins. Any final service agreement must be reviewed and approved by state regulators, and large projects must deliver net benefits for customers.
| Guiding Principle | Key Requirement |
|---|---|
| Customers come first | Existing customers will not pay for costs of serving a new large customer. |
| System reliability | Required engineering studies and system upgrades must be completed before service begins. |
| Regulatory approval | Any final service agreement must be reviewed and approved by state regulators. |
| Responsible growth | Any large project must deliver net benefits for customers. |
The company remains committed to collaborating with local leaders, regulators, and community members to inform how large data center requests are considered moving forward. Avista Corp. is an energy company involved in the production, transmission, and distribution of energy. Avista Utilities, its operating division, provides electric service to 429,000 customers and natural gas to 386,000 customers across a 34,000 square mile territory.
How will the pause in processing energy requests impact Avista's ability to secure future large-scale data center contracts?
What specific policy changes might result from the coordinated planning effort with governmental agencies?
How will Avista ensure that the costs of system upgrades for large data centers are not passed on to existing customers?
19
Create Custom Screeners 
Access 200+ Pre-built Filters 
Use 50+ Readymade Screener 
