IndustrySpotlight PA|April 6, 2026
Spotlight PA digs into how data center expansion on the PJM grid is raising electricity costs for consumers. PJM is the largest grid in the US, serving 65 million people across 13 states.
- A Federal Reserve Bank of Richmond study found that adding 1 GW of data center demand to a local grid raises residential electricity prices by $2-$4 per MWh
- PJM's interconnection queue has over 300 GW of pending requests, with data centers making up a growing share
- Dominion Energy's service area in Virginia has seen rates climb 30% since 2020, partly driven by the cost of grid upgrades to serve data center loads
- PJM cleared capacity at $269.92/MW-day for 2026-2027, a 10x increase from the prior year
- Consumer advocates are pushing for "cost causation" rules that would make data centers pay the full cost of the grid upgrades they drive







