Data centers may face temporary power cuts to prevent blackouts on largest US grid

TechCrunch
PJM Interconnection announced it will cut power to large data centers during shortages to prevent blackouts on the largest U.S. electrical grid.

Summary

The operator of the largest U.S. electrical grid, PJM Interconnection, announced plans to temporarily cut power to large data centers and other major energy users during shortages starting in June 2027. This decision follows a shortfall in generating capacity auctions driven by the rapid growth of data centers, which are projected to quadruple their electricity consumption by 2035. Affected facilities of 50 megawatts or larger will receive compensation and advance notice, a move that may push operators to adopt on-site power sources or rely on polluting backup diesel generators. Meanwhile, PJM faces mounting scrutiny over soaring wholesale electricity prices and its management of grid capacity amid surging demand.

(Source:TechCrunch)