In a recent development, the Trump administration implemented extensive budget cuts within federal agencies responsible for managing power from hydroelectric dams, sparking concerns about potential grid instabilities in important data center markets. The layoffs affected 13% to 20% of the workforce within the four Power Marketing Administrations, impacting roles ranging from linemen to personnel who oversee power distribution on a minute-by-minute basis.
Following criticism from lawmakers and customers, the administration has reportedly reinstated some of the employees, as noted in a report by E&E News.
The four power marketing administrations are responsible for the sale and transmission of hydropower generated by various federally owned dams, such as the Bonneville Dam in the Pacific Northwest and the Hoover Dam in the Southwest. These entities, along with the dams they oversee, provide electricity to tens of millions of homes across 34 states.
These agencies operate on funding derived from the sale of electricity and do not depend on financial support from the U.S. Treasury.
