Major US power operator says AI and data center demands are pushing prices up

PJM Interconnection News

Major US power operator says AI and data center demands are pushing prices up
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Mariella Moon has been a night editor for Engadget since 2013, covering everything from consumer technology and video games to strange little robots that could operate on the human body from the inside one day. She has a special affinity for space, its technologies and its mysteries, though, and has interviewed astronauts for Engadget.

PJM Interconnection is the largest power grid operator in the US, serving 65 million customers across the District of Columbia and 13 states, namely Delaware, Illinois, Indiana, Kentucky, Maryland, Michigan, New Jersey, North Carolina, Ohio, Pennsylvania, Tennessee, Virginia and West Virginia.

In addition to PJM losing power sources due to plants closing down over the years, there's a surge in demand from data centers over the past few years. The region PJM serves has the most number of data centers in the world. Demand for power also exploded in 2023 when ChatGPT started becoming a household name, contributing greatly to the spike in prices.

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