On the NERC CLO-001 data center standard and equipment procurement: on 15 October 2026 NERC announced that three proposed reliability standards for large data centers, AI facilities and cryptocurrency operations, CLO-001-1, CLO-002-1 and CLO-003-1, passed their final stakeholder ballot. They apply to computational-load sites with at least 50 MW of total connected load supplied at 100 kV or above. They are not in force: NERC's Board must adopt them and FERC must approve them. Sites already operating get 36 months to meet disturbance-recording requirements. These are North American rules, not Chinese standards.
Why should China-based buyers and integrators care about NERC?
Projects inside China are not governed by NERC. Three groups will still meet it: Chinese companies with North American sites or rented North American compute; integrators supplying equipment to those projects; and owners of large domestic compute campuses who want to borrow international interconnection requirements for their own specifications. TAOHAN (Shanghai TaoHan Industrial Co., Ltd.), covers only the published content of the standards and a way to respond in procurement. We do not give compliance conclusions for any site; domestic projects follow domestic grid rules and tender documents.
Where do the standards stand now?
According to the report:
- 15 October: the three standards and implementation plans passed the final ballot.
- Next: submission to NERC's Board of Trustees for adoption.
- After adoption: filing with FERC for approval.
- Context: FERC's 16 July directive requires NERC to file the first computational-load standards and registration criteria by 31 December 2026, which is 168 days later (our arithmetic).
NERC's board also approved Rules of Procedure revisions on 8 October creating two registered entity categories, Computational Load Owner (CLO) and Computational Load Operator (CLOP), and authorised expedited work on a registration data request pending FERC approval. The standards have cleared industry voting but not regulation, so treat dates and thresholds in contracts as proposed.
NERC's own announcement of 15 October 2026 confirms that the standards and their implementation plans passed final ballot and will be sent to the Board of Trustees for adoption, after which NERC will file them with FERC; it also says NERC will coordinate with Canadian authorities. ERCOT's 15 October 2026 update to its Large Load Working Group lists affirmative votes of 81.58% for CLO-001-1, 77.93% for CLO-002-1 and 82.40% for CLO-003-1, against a 66.67% pass line. The slide does not label the ballot round. A trade-press report attributes those three figures to the earlier initial ballot and gives 82.33%, 78.13% and 82.69% for the final ballot; we have not verified those last three on NERC's site, so use the ERCOT figures only as indicative.
Who is covered: both 50 MW and 100 kV
The proposed applicability needs both conditions:
- At least 50 MW of total connected load
- Supply through equipment connected to the Bulk-Power System at 100 kV or above, including sites with several points of connection
Our illustration of the thresholds, not NERC text: a 40 MW site at 69 kV meets neither; a 60 MW site at 230 kV meets both. Registration criteria are still being drafted, so confirm applicability with the transmission planner.
What does each standard require?
| Standard | Topic | Main requirement as summarised in the report |
|---|---|---|
| CLO-001-1 | Interconnection studies and modeling | Coordinated studies, commissioning procedures and planning-model data, including equipment tripping, ride-through and recovery |
| CLO-002-1 | Operational data and communications | Data and communications with grid entities; operators must follow instructions from the transmission operator, balancing authority or reliability coordinator unless physically impossible or unsafe or unlawful |
| CLO-003-1 | Protection coordination and disturbance monitoring | Processes to develop and coordinate protection settings, and recording of electrical disturbances |
The package also revises two existing facility-interconnection standards. The report gives no clause text, so this table is a summary and not a compliance reference.
How long are the transition periods, and what does 36 months cover?
| Item | Transition period |
|---|---|
| CLO-001-1: planning coordinators define qualified changes | 3 months (about 91 days) after the effective date |
| CLO-001-1: interconnection study and commissioning obligations | 9 months (about 274 days) |
| CLO-002-1: data, communications and operating-instruction requirements | Generally 12 months (365 days) |
| CLO-003-1: protection-coordination requirements | Begin after 9 months (about 274 days) |
| CLO-003-1: disturbance recording for sites operating at the effective date | 36 months (3 years, 1,095 days) |
The 36 months (1,095 days) apply only to CLO-003-1 disturbance recording. It is not a three-year grace period for every obligation, which is the most common misreading. Effective dates depend on board adoption and FERC approval, so no calendar deadline can be calculated yet.
What does this mean for equipment procurement and the deviation table?
The standards describe data and behavior, not brands. The points below are our reading of how requirements could reach equipment; we have not seen the standard text, so treat them as questions for the design team:
- Ride-through and tripping: CLO-001-1 needs modeling data on tripping and recovery, so UPS, power supplies and facility controls need documented behavior
- Protection settings: CLO-003-1 needs coordinated settings, so ask switchgear and relay manufacturers for setting files and coordination support
- Disturbance recording: existing sites have 36 months, so check the resolution and time synchronization of existing metering and recorders; the report gives no specification
- Operational response: CLO-002-1 requires acting on grid instructions, so confirm the site can curtail or shift load within the time a grid entity may require; the report gives no time limit
In a tender or clarification, "provide interconnection modeling data (tripping, ride-through, recovery)" and "provide protection-setting support" can be written as clauses the supplier must answer; if a supplier cannot, mark it "deviation". Domestic purchases are settled with a 13% VAT special invoice, and the quotation should state the tax-inclusive price, the rate and the invoicing entity. If the tender has a maximum bid price, the cost of extra data services must fit inside it.
Who is this for, and who is it not for?
Suitable for:
- Companies and operators with sites of 50 MW or more at 100 kV or above in North America
- Integrators supplying equipment to such projects, who will be asked for modeling and protection data
- Owners of large compute campuses who want international interconnection requirements as a reference
Not suitable for:
- Sites below 50 MW or below 100 kV, which fall outside the proposed scope
- Purely domestic procurement with no North American site, where domestic grid rules and tender documents apply
- Anyone who needs a final compliance date, since it depends on FERC action
How to prepare an equipment inquiry in six steps
- Work out total connected load and the voltage at every connection point; if phased growth could cross 50 MW or 100 kV, prepare as if in scope.
- Ask the transmission planner about interconnection study progress and any modeling data requests.
- Add ride-through, tripping and recovery data to the supplier questionnaire for UPS, power distribution and cooling controls.
- Add protection-setting and disturbance-recording requirements to relay and metering specifications.
- Show the cost impact on a separate line, marked "industry estimate, pending confirmation".
- Re-check the standards' status after board adoption and after FERC approval.
FAQ
Must data centers in China comply with NERC standards?
What should a company with a North American site do first?
How should an equipment maker respond to a request for interconnection modeling data?
How can a deviation table word a clause such as "provide interconnection modeling data"?
What if the effective date is not yet fixed in a contract?
Can TAOHAN give a compliance opinion?
References
- NERC: Computational Loads Standards Pass Final Ballot, Advance to Board Adoption (15 Oct 2026)
- ERCOT: NERC Computational Load Update for the Large Load Working Group (15 Oct 2026 slides)
- ETDatacenters: NERC passes grid reliability standards for data centers, AI facilities (17 Oct 2026)
- North American Electric Reliability Corporation (NERC)
- Federal Energy Regulatory Commission (FERC)
- State Taxation Administration of China
Related reading
Contact TAOHAN
Send us the site's interconnection voltage, planned load and equipment scope. We will list the equipment that needs modeling data and protection-setting support from the manufacturer, then quote against confirmed part numbers.
Contact TAOHAN · power and protection equipment inquiry checkEmail: info@021taohan.com
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