The Trump administration and several states are urging PJM Interconnection to make tech companies pay for the power needed for their data centers.
They are also calling for PJM to hold an emergency auction to secure more generation. Electricity prices have exploded on PJM due in part to data centers.
PJM serves more than 65 million people across 13 states and Washington, D.C.
The Trump administration and several state governors on Friday urged the largest electricity grid in the U.S. to make the big technology companies pay for new power plants.
Electricity prices have exploded in recent years on PJM Interconnection due in part to the data centers that tech companies are building to train and power artificial intelligence.
The Trump administration and several states signed a pact that calls for tech companies to pay for new power plants built in PJM. Leading tech companies have agreed to fund $15 billion of new generation for the grid, according to an administration statement.
The Trump administration and the states urged PJM to hold an emergency capacity auction to procure this power, according to the Department of Energy. PJM should also cap the amount that existing power plants can charge in the grid’s capacity market to protect ratepayers, according to the administration.
Interior Secretary Doug Burgum and Energy Secretary Chris Wright unveiled the plan at the White House with Maryland Gov. Wes Moore, Pennsylvania Gov. Josh Shapiro and outgoing Virginia Gov. Glenn Youngkin. PJM representatives were not at the event.
