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

PJM Interconnection (PJM) 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. But this summer, some parts of PJM's power grid are expected to use so much electricity that people's bills for the summer are projected to be 20 percent higher than before, according to Reuters.

The operator said its problems with supply and demand are beyond its control. To start with, some state energy policies caused the closure of fossil-fuel fired power plants before new ones could become operational. "Prices will remain high as long as demand growth is outstripping supply — this is a basic economic policy," PJM spokesperson Jeffrey Shields told Reuters.

Of course, wind and solar projects are likely the ...