Archive · 28 Jul 2026
US Grid to Curtail Power to Data Centers During Shortages
The largest US power grid, operated by PJM Interconnection, will start limiting electricity to big data centers and other large users when there's not enough power.
This is because data centers use a lot of electricity, and by 2035, they'll use almost four times more than they do now.
The limits will start in June 2027 and only affect new data centers or users who need 50 megawatts or more.
PJM is also trying to get more power sources online.
This might make data centers build their own power sources, which could be expensive but would help the environment.
Some data centers, like Vantage Data Centers, have been criticized for using diesel generators that cause pollution.
PJM is getting criticized too because the high demand from data centers is making electricity prices go up.
PJM Interconnection will curtail electricity to data centers and large users during power shortages starting June 2027.
Data centers are expected to consume nearly four times more electricity by 2035.
Curtailment will apply to new data centers and users with demand of 50 megawatts or more.
PJM is conducting an auction to bring additional generating capacity online.
Data centers may invest in on-site power generation to avoid curtailment and reduce pollution from backup generators.
- Who
- PJM Interconnection, data center operators, grid operators, environmentalists
- What
- Curtailment of electricity supply to data centers and other large users during power shortages
- When
- Starting June 2027
- Where
- US, primarily in areas served by PJM Interconnection
- Why
- To manage increasing power demands from data centers and ensure grid stability
Data Center Operators
Grid Operators and Environmentalists
Power Curtailment
Data Center Operators
Data center operators argue that power curtailment will disrupt their operations and increase costs, especially for those without on-site power generation.
Grid Operators and Environmentalists
Grid operators believe curtailment is necessary to manage power shortages and ensure grid stability, while environmentalists support it to reduce reliance on polluting backup generators.
On-Site Power Generation
Data Center Operators
Data center operators may invest in on-site power generation to avoid curtailment, which could increase their operational costs but ensure a stable power supply.
Grid Operators and Environmentalists
Grid operators and environmentalists encourage on-site power generation to reduce strain on the grid and decrease pollution from backup generators.
- Grid Operator
- PJM Interconnection
- Affected Users
- Data centers and other large users with demand of 50 megawatts or more
- Curtailment Start Date
- June 2027
- Expected Data Center Power Consumption by 2035
- Nearly four times current consumption
- Backup Generator Regulations
- Limited to 50 hours per year for non-emergency use and 10 hours annually for testing and maintenance
- PJM Network Customers
- Approximately 67 million