← All glossary terms

Utility Rates, Grid, and Markets

Customer charge

A customer charge is a fixed recurring charge intended to recover customer-specific service and administrative costs. It is usually small compared with energy and demand charges for large data centers, but it is part of full tariff modeling.

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Phase II ESA

Phase II Environmental Site Assessment uses sampling or testing to investigate potential contamination identified in Phase I or other diligence. It can affect purchase terms, remediation obligations, lender comfort, and development schedule.

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LMP

Locational Marginal Price is the wholesale energy price at a specific grid location, reflecting energy, congestion, and losses. LMP is useful for market intelligence and power-cost context, but retail data center bills may differ substantially due to tariffs, riders, hedges, and contracts.

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Noise study

Noise study evaluates expected sound levels from generators, cooling equipment, transformers, construction, and operations. It can be central to community acceptance and permit conditions for data centers near residential or rural areas.

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