The former Homer City Generating Station – previously the largest coal-burning power plant in Pennsylvania – will be transformed into a 4.5GW combined-cycle gas plant, according to the project’s developer, Homer City Development (HCD).
The Homer City Energy Campus will be built by Kiewit Power Constructors Co. and be powered by seven of GE Vernova’s 7HA.02 turbines, with the first deliveries expected to begin in 2026 and the project to begin producing power in 2027.
Once built, the 4,500MW gas plant would easily become the nation’s largest. It would leverage the transmission lines connected to the PJM and NYISO power grids, substations and water access that supported the old coal plant. The plant would rely on natural gas produced in the Marcellus Shale Region of the US.
The electrons will help power a more than 3,200-acre hyperscale campus that would serve multiple data centre customers.
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The sheer scale of this plant signals the immense power needs of AI-driven workloads and cloud computing. Hyperscale data centres, especially those supporting AI training and inference, require vast amounts of energy, far exceeding traditional IT infrastructure demands.
According to Industrial Info Resources (IIR), as of early March, there were over 1,900 data centre projects in development in the US, with a total investment exceeding $800 billion. A lot of this announced spend is tied up in multi-building campuses with additions that are planned out to 2035.
Given the competition for power, data centre developers are looking for power wherever they can get it, with their first priority to be clustering near high-capacity transmission points.
“Even when grid connections are possible, it can be more cost-effective to generate power on-site rather than purchase from the grid,” said Daniel Tegtmeier, EthosEnergy’s Performance Center director, in a recent interview with Power Engineering. “For AI applications, power must always be on. Many of them, the power plants tied to data centers, they’re being islanded due to remote nature of the location.”
However, in response to delays for partial or full interconnection, another recent trend is seeing data centre companies planning off-grid power generation.
The transformation of a legacy coal plant like Homer City into an AI power hub mirrors a broader industry trend. Developers are increasingly repurposing existing infrastructure, like decommissioned power plants and industrial brownfields, to accelerate data centre expansion.
Homer City Generating Station began operations in 1969. After powering the region for nearly 55 years, the power plant was permanently decommissioned on July 1, 2023.
Join the upcoming DTECH Data Centers and AI conference to learn more about the current developments related to data centers’ impact on the electric grid. Topics will include interconnection, utility-data center collaboration, operations, load management, market structures and more. The conference is scheduled for May 27-29, 2025, at the Signia Hotel in San Jose, California.
Originally published by Kevin Clark on power-eng.com