PJM considers major market overhaul as data center demand strains the grid

PJM is considering a major overhaul of its electricity market structure as supply concerns rise across its 13-state footprint. Data center load growth is a primary driver, with capacity prices rising more than 1,000% in two years and PJM warning of possible shortages as soon as 2027. (more)

Why it matters for government data centers:
Federal facilities in the PJM region — including Northern Virginia, Maryland, Pennsylvania, Ohio, and parts of the Midwest — will increasingly face power-cost and reliability constraints. This directly affects data center siting, colocation pricing, and AI/HPC expansion planning.