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No more PJM data centers unless they can be reliably served: market monitor
Yahoo Finance· 2025-11-26 09:04
Core Insights - The market monitor asserts that PJM has the authority to require large new data centers to wait for adequate generation and transmission capacity before being added to the system [3] - PJM stakeholders have not reached a consensus on the authority of PJM regarding the interconnection of large loads, leading to a complaint from the market monitor [4] - The complaint emphasizes that PJM should not add new loads that cannot be reliably served, questioning the fairness of such actions [4][7] Group 1 - PJM's board is planning to develop a proposal for large load interconnection and seeks FERC's approval, indicating a need for clarification on PJM's authority [5] - The market monitor highlights an urgent need for immediate clarification regarding PJM's authority over the interconnection of large new data center loads [5] - Large data center load additions have been increasing transmission costs and energy prices, with capacity revenues rising by $16.6 billion in the last two capacity auctions due to existing and expected data center loads [6] Group 2 - The Federal Energy Regulatory Commission is urged to inform PJM that large data centers should only be added when they can be reliably served, as current proposals may lead to periodic blackouts [7] - The market monitor argues that allowing unreliable data center loads contradicts PJM's responsibility to maintain a reliable grid [7]