The Latest Eye-Popping Numbers on Data Center Electricity Demand Are In

The independent market monitor of PJM Interconnection, which manages the electricity grid across 13 states, has reported that data center growth is the primary reason for rising electricity costs and capacity market prices in the region. PJM states like New Jersey and Maryland have seen some of the fastest retail electricity price hikes in the country, which the monitor attributes to the impact of data centers on capacity auctions and transmission costs. The report suggests that data centers have had a "significant and irreversible impact" on electricity prices that will persist through 2028, with ratepayers expected to pay an additional $23 billion due to this issue.