Calvert County Hears SMECO Plan for Data Center Power Demands

Southern Maryland Electric Cooperative (SMECO) presented to the Calvert County Board of County Commissioners on April 28, 2026, addressing community concerns about the potential effects of data centers on the local electric grid and consumer rates. Tom Dennison, SMECO Senior Vice President, and Hugh Voehl, Transmission Engineering and Construction Director, outlined the cooperative's position: data center developers must fully fund all electric transmission and distribution system buildout and ongoing operational costs required for interconnection, consistent with Maryland law. SMECO, which serves thousands of customers in Calvert County, stated its commitment to protecting existing members from cost burdens. The cooperative highlighted rising wholesale capacity prices in regional power markets like PJM Interconnection, noting that while data centers contribute to demand, other factors like generation retirement and population growth are also significant. SMECO pledged to continue advocating before the Maryland Public Service Commission (PSC), PJM, and FERC to ensure data centers pay their fair share. Regulatory efforts are advancing at the state level; the Maryland PSC established Public Conference 72 to develop regulations and tariffs for large-load interconnections and launched Rulemaking 93 on load study requests. Maryland law requires SMECO to file its own large-load tariff with the PSC by September 1, 2026, aimed at shielding ratepayers from adverse cost and reliability impacts.