Data centers may face temporary power cuts to prevent blackouts
a day ago
- PJM Interconnection, the largest U.S. electrical grid operator, will cut off data centers and other large users during power shortages after an auction for new generating capacity fell short.
- Data center electricity demand is expected to quadruple by 2035, straining grid operators.
- Curtailments will start in June 2027 and apply only to data centers 50 megawatts or larger, with affected customers receiving compensation.
- Data centers are likely to adopt on-site power sources or backup diesel generators, which are costlier and more polluting.
- Vantage Data Centers faced criticism for coordinating with Virginia regulators to downplay health risks from diesel generators.
- PJM has been criticized for managing new generating capacity and large users, with wholesale electricity prices nearly doubling in the past year.